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FTX Initiates US Bankruptcy Proceedings, CEO Steps Down.

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FTX launches US bankruptcy proceedings, CEO exits market SINGAPORE/LONDON, Nov 11 (Reuters) – Cryptocurrency exchange FTX plans to launch US bankruptcy proceedings, CEO Sam Bankman-Fried intends to resign. world. Ailing cryptocurrency trading platforms are struggling to raise billions of dollars to stave off collapse while facing increased regulatory scrutiny. In a statement shared in a tweet on Friday, the company said that FTX, its affiliated crypto trading fund, Alameda Research, and about 130 other companies have filed for voluntary Chapter 11 bankruptcy in Delaware.

John J Ray III has been appointed Group CEO. Bankman-Fried has stepped down but will help ensure an orderly transition. The week-long saga that began with FTX’s run and cancellation of a takeover deal by rival Binance has hit an already struggling Bitcoin and other tokens. FTX has struggled to raise about $9.4 billion from investors and competitors, Reuters reported, citing sources.

The predicament marks a rapid turnaround for his Bankman-Fried, a 30-year-old cryptocurrency executive whose fortune was valued at about $17 billion by Forbes just two months ago.

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