Numerous FTX group firms are involved in the U.S. bankruptcy proceedings, and there are more than 100,000, and probably over 1 million, creditors.
The Wall Street Journal reported on Friday, citing an FTX spokesperson, that cryptocurrency exchange FTX, which recently applied for bankruptcy court protection in the United States, has sacked three of its senior employees, including co-founder Gary Wang.
Nishad Singh, the engineering director, and Caroline Ellison, the head of FTX’s trading division Alameda Research, were the two executives let go, according to the publication.
An inquiry for comment from Reuters received no immediate response from FTX.
Last week, the cryptocurrency exchange sought bankruptcy protection, and Sam Bankman-Fried, a veteran Wall Street trader, quit as CEO when the competing exchange Binance withdrew from a planned takeover.
Numerous FTX group firms are involved in the U.S. bankruptcy proceedings, and there are more than 100,000, and probably over 1 million, creditors.
The company had been covertly gambling with client cash to support a trading firm controlled by Bankman-Fried, which caused the company to fail, according to interviews with multiple persons close to Bankman-Fried and previously unreported corporate communications.
The corporation has been subject to considerable regulatory scrutiny due to the numerous licenses it had acquired via its numerous acquisitions.
Since the FTX collapse, several cryptocurrency companies have been preparing for the consequences. Many of these companies estimate their exposure to the troubled exchange to be in the millions.
