Revelations of Alameda and FTX Connections Emerge amidst Ongoing Trials
According to the Wall Street Journal, employees at bankrupt exchange FTX were aware of a backdoor that allowed Trading firm Alameda Research to withdraw customer funds. This information was shared with FTX management, but no action was taken. The backdoor was discovered by former employees of LedgerX, a derivatives exchange acquired by FTX, during an investigation into the use of code in the United States. The chief risk officer at LedgerX raised the issue with her boss, who then spoke to Nishad Singh, a close associate of FTX owner Sam Bankman-Fried. However, the risk officer was subsequently fired, allegedly due to her focus on the relationship between Alameda Research and FTX. LedgerX denies any knowledge of the backdoor. Bankman-Fried is currently on trial, with Singh pleading guilty and expected to testify against him. FTX has undergone a change in management and plans to restart under a new name, while also repaying all creditors. A lawsuit has been filed against Binance and its CEO for allegedly hurting FTX and monopolizing the market at the expense of investors..
#Alameda #FTX #Connections #Revealed #Ongoing #Trials
According to the Wall Street Journal, employees at bankrupt exchange FTX were aware of a backdoor that allowed Trading firm Alameda Research to withdraw customer funds. This information was shared with FTX management, but no action was taken. The backdoor was discovered by former employees of LedgerX, a derivatives exchange acquired by FTX, during an investigation into the use of code in the United States. The chief risk officer at LedgerX raised the issue with her boss, who then spoke to Nishad Singh, a close associate of FTX owner Sam Bankman-Fried. However, the risk officer was subsequently fired, allegedly due to her focus on the relationship between Alameda Research and FTX. LedgerX denies any knowledge of the backdoor. Bankman-Fried is currently on trial, with Singh pleading guilty and expected to testify against him. FTX has undergone a change in management and plans to restart under a new name, while also repaying all creditors. A lawsuit has been filed against Binance and its CEO for allegedly hurting FTX and monopolizing the market at the expense of investors..
#Alameda #FTX #Connections #Revealed #Ongoing #Trials
