FTX Bankruptcy Saga Deepens: Over 100,000 Creditors Emerge

FTX's Bankruptcy: A Deeper Dive

How Many Creditors Is FTX Dealing With?

According to bankruptcy filings, FTX is currently facing over 100,000 creditors, but that number could skyrocket to over one million, as reported by the Financial Times.

Is the SEC Circling?

The company has reportedly been in touch with US federal prosecutors, as well as numerous other regulatory agencies, over the past few days. Could this be a sign of trouble for FTX?

Unwinding the Company

The Securities Commission of The Bahamas has received court approval to appoint two partners to oversee the unraveling of FTX Digital Markets, a key part of the crypto exchange.

FTX: From Hero to Zero?

"Barely more than a week ago, FTX was regarded as one of the most respected and innovative companies in the crypto industry," the filing noted. What happened in such a short time to bring the company to its knees?

Criminal Investigation Underway

The Royal Bahamas Police have confirmed that they are investigating to determine if any criminal misconduct occurred. This comes after the company reported that millions of dollars went missing from its crypto wallets following "unauthorized transactions."

Binance's Role

After the price of FTX's native FTT token crashed, Binance announced that it would sell off around over $500 million worth of FTT. Binance then said it would take over FTX, but backed out of the deal a day later due to concerns that emerged during due diligence.

Bankman-Fried's Accountability

FTX's co-founder, Sam Bankman-Fried, has said he plans to eventually publish an account detailing exactly what happened to the company. Will this be enough to salvage his reputation?