Three senior executives from the bankrupt cryptocurrency exchange FTX have reportedly been fired. Among them is one of the co-founders of one of the largest marketplaces in the industry, which is currently in the process of bankruptcy in the US court system.
3 members of FTX management lost their jobs, spokesman cites
Cryptocurrency exchange FTX has fired three of its top executives, according to a Wall Street Journal report on Friday, citing an FTX spokesperson. One of the high-profile executives relieved is co-founder Gary Wang.
CTO Nishad Singh and Caroline Ellison, who was in charge of Alameda Research, the exchange’s trading arm, are the other two managers fired, Reuters said, noting it did not receive an immediate response to a request for comment from FTX.
At the start of this turbulent year, FTX was valued at $32 billion and was one of the world’s largest cryptocurrency exchanges. On November 11, several FTX companies filed for Chapter 11 bankruptcy protection in the United States. It has been reported that the group may have over a million creditors.
The coin trading platform has been placed under voluntary management, and founder Sam Bankman-Fried stepped down as chief executive last week after Binance, the world’s leading digital asset exchange, withdrew its acquisition offer.
Reuters notes that FTX has been subject to regulatory oversight as a licensed cryptocurrency trading platform in various jurisdictions, but this has not provided sufficient protection for its clients and investors, who are now suffering billions of dollars in losses.
Since its collapse, the company has been subject to numerous regulatory investigations around the world, including in the US, the Bahamas, Japan and Turkey. The financial authorities of a number of countries, from Cyprus to Australia, suspend its licenses.
Do you think more FTX executives will be laid off? Share your expectations and thoughts on this in the comments section below.
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