FTX (FTT) has filed for Chapter 11 bankruptcy, the company announced in a statement on Friday morning. Its founder and CEO, Sam Bankman-Fried, has resigned and been replaced by John J. Ray III.
The bankruptcy involves companies that go under FTX Group, including FTX.com, Alameda Research, FTX US, and another 130 closely tied firms. Former CEO Bankman-Fried claimed that FTX US was solvent up until the very end.
The bankruptcy excludes LedgerX LLC, the subsidiary known as FTX Derivatives, FTX Digital Markets Ltd., FTX Australia Pty Ltd., and FTX Express Pay Ltd.
FTX believes that many of its employees will stay with the company to assist it in its operations during the bankruptcy proceedings. However, entire teams, including legal and others, have already left the firm.
“The FTX Group has valuable assets that can only be effectively administered in an organized, joint process. I want to ensure every employee, customer, creditor,...
