ftx

FTX was a cryptocurrency exchange and trading platform that operated FTX.com and, separately, FTX US. Founded in 2019 by Sam Bankman-Fried and Gary Wang, the company offered spot trading, derivatives, leveraged tokens, and related services, along with a native utility token called FTT. The business grew rapidly and established itself as one of the leading players in the crypto sector, with operations tied to the Bahamas for regulatory and corporate purposes.

In November 2022, FTX faced a severe liquidity crisis following questions about the relation between customer funds and Alameda Research, a trading firm also associated with the group. Withdrawals were halted, and FTX Trading Ltd and affiliated entities filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of Delaware. Alameda Research and other entities were included in the proceedings. Regulators from the United States and other jurisdictions investigated the events, with formal charges related to fraud and mismanagement arising in some cases. Reports and proceedings indicated that customer funds may have been commingled with Alameda’s trading activities, prompting asset recovery efforts and governance changes.

The bankruptcy process established creditor committees and ongoing efforts to locate and recover assets for customers and lenders. The case prompted scrutiny of risk management practices and corporate governance in the crypto industry and led to continued regulatory and legal actions in multiple jurisdictions. As of the mid-2020s, the proceedings remained focused on asset recovery, creditor claims, and the broader implications for crypto exchanges and market infrastructure.