FTX debtors release second investigative report, details on commingling and misuse of deposits
Quick Take
- FTX debtors released a second investigative report on Monday, detailing the commingling and misuse of customer deposits at the now defunct crypto exchange.
- The now defunct FTX.com crypto exchange owed customers about $8.7 billion.
FTX debtors released a second investigative report on Monday, detailing the commingling and misuse of customer deposits at the now defunct crypto exchange.
"The image that the FTX Group sought to portray as the customer-focused leader of the digital age was a mirage," CEO and Chief Restructuring Officer John J. Ray III said in a statement. "From the inception of the FTX.com exchange, the FTX Group commingled customer deposits and corporate funds, and misused them with abandon at the direction and by the design of previous senior executives."
The exchange owed customers about $8.7 billion, debtors said the report.
A review by debtors is ongoing, and the report is part of a series regarding issues that preceded the company's bankruptcy filing.
Disclaimer: The former CEO and majority shareholder of The Block has disclosed a series of loans from former FTX and Alameda founder Sam Bankman-Fried.
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