FTX's situation became more complicated on Wednesday, when Binance – the world's leading currency exchange world- announced that it was withdrawing the purchase offer it had announced a day earlier, when it had offered to come to the support of its rival.
The cryptocurrency platform FTXannounced today that it has filed for bankruptcy in the United States and that its founder and chief executive officer, Sam Bankman-Fried, has resigned.
The decision confirms the total collapse of this platform, one of the most important in the sector, which came to be valued at 32,000 million dollars and that in recent days has collapsed due to lack of liquidity and with users rushing to withdraw their backgrounds.
In a statement, FTX assured that the bankruptcy declaration is the appropriate measure to manage the company's assets and protect the interests of its shareholders.
The process will affect some 130 affiliated companies, including its investment firm Alameda Research, but not affiliates Ledgerx.LLC, FTX Digital Markets, LTD, FTX Australia, and FTX Express Pay.
The company announced that the role of CEO will be assumed by John J. Ray III and said Bankman-Fried and numerous firm employees will continue to work to assist the new CEO and independent professionals during the bankruptcy process.
< p>The movement was announced hours after the authorities of the Bahamas, where FTX is headquartered, froze the group's assets and took the first steps to appoint a person in charge of liquidating one of its entities.
< p>FTX landed in the Bahamas in 2021 from Hong Kong, where it had started operations and established itself as one of the most successful platforms in the cryptocurrency sector.
In recent days, doubts about the company's solvency have been triggered by various reports, leading many users to rush to withdraw their money, leaving FTX without liquidity and in search of a rescue .
The FTX situation got even more complicated on Wednesday, when Binance-the world's leading currency exchange platform- announced that it was withdrawing the purchase offer it had announced a day earlier, when it had offered to come to the support of its rival.
“Our intention initially it was to support FTX clients in their search for liquidity, but the matter is beyond our control and our ability to help”, Binance said in a statement.
The movement caused a new collapse of the FTT, FTX's digital asset, and sharp declines across the entire cryptocurrency market, just a year after bitcoin – the most important cryptocurrency – hit its all-time high.
Finally, this Thursday Bankman-Fried He apologized and admitted that he made mistakes when calculating the liquidity levels that were necessary, as well as when explaining the situation of the platform once the crisis broke out.
< strong>The 30-year-old billionaire said then that he was doing everything possible to obtain liquidity and avoid a bankruptcy that finally materialized today, with a financial hole estimated at some 8,000 million dollars.
Meanwhile, numerous details about how the platform works have come to light, including the fact that FTX used billions of dollars deposited by its customers to finance risky investments.
FTX, a source told The Wall Street t Journal, lent the money to his investment firm, Alameda Research, which used it in aggressive trades and now owes the platform some $10 billion.