FTX
FTX was a leading cryptocurrency exchange specializing in derivatives and leveraged products. Founded in 2018 by MIT graduate Sam Bankman-Fried, it was the world's third-largest exchange as of July 2021. FTX offered a wide range of trading products, including derivatives, options, and spot markets in over 300 cryptocurrency trading pairs. However, in November 2022, FTX filed for Chapter 11 bankruptcy protection, and Bankman-Fried resigned. The bankruptcy filing revealed $8 billion of liabilities and a valuation drop from $32 billion to worthless. Bankman-Fried was indicted on charges of fraud, conspiracy, and money laundering, facing up to 115 years in jail if convicted.
US court sets deadline for Celsius bankruptcy claimants
The U.S. Bankruptcy Court in New York State has approved a new filing deadline for former Celsius users to make claims against the former digital assets lender. Any person or entity - which covers individuals, partnerships, corporations, joint ventures and trusts - who wishes to do so must submit a proof of claim by Jan. 3, 2023, 5:00 pm Eastern Time. The decision comes after independent examiner made an allegation Celsius had 'insufficient' accounting and operational controls.
Bill Ackman predicts crypto will remain
Bill Ackman says he remains bullish about cryptocurrencies, despite recent challenges. Ackman is the CEO and founder of hedge fund management firm Pershing Square Capital Management. He believes there's a need to increase oversight and remove "fraudulent actors". The billionaire has called for the removal of regulatory barriers and easing of regulations in New York.
Vitalik Buterin gives crypto lessons after FTX crash
Vitalik Buterin says collapse of FTX contains lessons for the entire crypto ecosystem. He said exchanges should create "cryptographic proofs that show that the funds they hold on-chain are enough to cover their liabilities". The problems for FTX are understood to have stemmed from the exchange's use of customer deposits for other purposes.
Crypto sleuth debunks 3 FTX hack myths
ZachXBT shares his findings on what he sees as the three most common misconceptions about the FTX hack. The self-proclaimed "on-chain sleuth" debunked speculation that Bahamian officials were behind the hack, that exchanges knew the hacker's true identity, and that the culprit is trading memecoins. FTX filed for bankruptcy Nov. 11, with more than $650 million transferred off the wallet. ZachXBT argues that the 0x59 address associated with the hacker was a blackhat and not affiliated with the FTX team or the Securities Commission of the Bahamas (SCB). He also highlights the potential misinformation surrounding the claim the hacker's identity had been discovered by Kraken or other exchanges. Instead, he claims the transfers have been "spoofed" on the Etherscan network, explaining how transactions can be faked.
Ripple considers FTX trades Garlinghouse
Ripple CEO Brad Garlinghouse is reportedly interested in buying certain parts of collapsed crypto exchange FTX. Former FTX CEO Sam Bankman-Fried called him two days before the company filed for bankruptcy as he sought to round up investors to rescue the business. Approximately 130 companies affiliated with FTX, including FTXUS, were included in the bankruptcy filing in Delaware.
South Korea probes crypto exchanges for local tokens
Korean Financial Intelligence Unit (KoFIU) launched a probe into crypto exchanges in relation to listing their in-house, self-issued tokens. While Korean crypto exchanges are barred from issuing native tokens, KoFIU's probe into the same is to ensure regulatory adherence for investor's safety. Initial investigations revealed that all crypto exchanges performed lawful operations across South Korea.
Singapore police warn of FTX phishing scams
Singapore police warn against fake websites claiming to be hosted by the U.S. Department of Justice. The websites claim to be able to recover funds from now-bankrupt cryptocurrency exchange FTX. An estimated 1 million investors and creditors have been affected by FTX's bankruptcy. Singapore has pursued stricter regulations around retail trading and self-hosted wallets.
Due to conflicts of interest, SBF's attorneys drop FTX
South Korean authorities froze approximately $104.4 million (140 billion won) from co-founder Shin Hyun-seong based on suspicion of unfair profits. The decision to freeze Shin's asset worth over $104 million was approved by the Seoul Southern District Court. The claim related to Shin's involvement in selling pre-issued Terra tokens to unwary investors.
South Korea seizes $104M from Terra's co-founder on unjust earnings.
South Korean authorities froze approximately $104.4 million (140 billion won) from co-founder Shin Hyun-seong based on suspicion of unfair profits. The decision to freeze Shin's asset worth over $104 million was approved by the Seoul Southern District Court. The claim related to Shin's involvement in selling pre-issued Terra tokens to unwary investors.
US subcommittee chairman requests FTX information.
The former and current CEOs of the bankrupt FTX cryptocurrency exchange have been asked for documents relating to the exchange's finances. Raja Krishnamoorthi, Chairman of the Subcommittee on Economic and Consumer Policy wrote a Nov. 18 letter addressed to both former FTX CEO Sam Bankman-Fried and current CEO John J. Ray III. He insisted the exchange hand over a slew of information relating to its finances.
Warren and Durbin seek answers from Bankman-Fried and FTX's successor
Elizabeth Warren and Richard Durbin wrote to the former and current CEOs of FTX. They asked for more information on the collapse of the cryptocurrency exchange. They noted "the apparent lack of due diligence by venture capital and other big investment funds". The lawmakers made 13 requests for documents, lists and answers.
Pompliano said the market was FTX's "judge, jury, and executioner."
Former FTX CEO Sam Bankman-Fried is a pariah in the crypto industry for "careless" mishandling of customer funds and strange behavior on Twitter.
Alameda loaned SBF $1B: FTX bankruptcy filing
Former FTX CEO Sam Bankman-Fried received a $1 billion personal loan from one of four silo companies deeply involved in the collapse of the FTX cryptocurrency exchange. Chapter 11 filing will look to implement controls on accounting, auditing, cybersecurity, human resources and other systems. The debtors have only secured "a fraction of the digital assets" they had hoped to recover. Cold wallets containing $740 million of cryptocurrency have been obtained, but it's not clear which silo the funds belong to.
Trust Wallet connects Binance Pay and Coinbase Pay
Trust Wallet launched its browser extension, now available in Chrome and Opera browsers. The extension lets users store, send and receive crypto across all EVM chains and Solana networks. Binance CEO Changpeng Zhao publicly endorsed Trust Wallet, stating "self-custody is a fundamental human right".