Bahamas regulator responds to FTX CEO statements regarding FTX customer funds

The Securities Commission of the Bahamas (SCB) on Monday issued a statement regarding claims made by FTX CEO, John J. Ray III.

The newly appointed chief executive officer, overseeing the bankruptcy proceedings of the collapsed cryptocurrency exchange, challenged the calculation of the FTX customer’s digital assets held by the Bahamas regulator.

Last month, SCB stated that it has seized over $3.5 billion in cryptocurrency from the bankrupt crypto exchange, and was holding the funds to repay customers and creditors.


FTX later challenged the regulator’s calculations, saying its digital assets seized in November were worth just $296 million.

SCB said that these challenges were based on “incomplete information.”

The regulator responded:

The US Debtors’ continued lack of diligence when making public statements concerning the Commission is disappointing, and reflects a cavalier attitude towards the truth and towards The Bahamas that has been displayed by the current officers of the Chapter 11 Debtors from the date of their appointment by Sam Bankman-Fried.

FTX’s collapse began in November, when the exchange faced a liquidity crisis which ended with filing for bankruptcy and was followed by a hack stealing over $370 million from the crypto exchange. Later in November, SCB transferred all digital assets of FTX Digital Markets Ltd. to a digital wallet controlled by the government for “safe keeping”.

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