• FTX CEO John J. Ray III is considering restarting the bankrupt crypto exchange’s operations, according to a recently filed court document.
• The filing also indicates that Ray has been working on activities related to the exchange’s reboot, such as reviewing a work plan from cyber security firm Sygnia and finalizing materials for distribution.
• Former FTX CEO Sam Bankman-Fried faces charges of allegedly defrauding customers and mishandling billions of dollars worth of their funds, as well as making illegal political donations.
FTX CEO Considering Reboot of Disgraced Crypto Exchange
A new court filing suggests FTX CEO John J. Ray III is considering restarting the bankrupt crypto exchange’s operations. According to a monthly compensation report filed with the U.S. Bankruptcy Court for the District of Delaware, Ray appears to have taken part in multiple activities centered on an FTX reboot in April, including reviewing a work plan “for exchange fortification” from cyber security firm Sygnia and finalizing materials for distribution. In total, he reported working 223.2 hours in April and billed $290,160 for his efforts.
FTX Forced To Halt Customer Withdrawals
FTX first shut down in November after its native asset collapsed and it was forced to halt customer withdrawals. After declaring bankruptcy, Ray took over for disgraced former CEO Sam Bankman-Fried who faces a slew of charges for allegedly defrauding customers and mishandling billions of dollars worth of their funds, as well as making illegal political donations which could result in more than 100 years in prison if convicted.
Ray Sets Up Task Force To Explore Rebooting Exchange
In January, the Wall Street Journal reported that Ray had set up a task force to explore whether or not restarting the exchange could be a better alternative than selling off its assets. In his initial filing on the company’s affairs, Ray said he had never seen such mismanagement before stating “Never in my career have I seen such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here.“
Ray Takes Over For Disgraced Bankman-Fried
After FTX declared bankruptcy following its collapse last November, former Enron overseer John J. Ray III stepped in to take over for disgraced former CEO Sam Bankman-Fried who faces charges related to fraudulently handling customer funds and illegal political donations which could result in more than 100 years in prison if convictedl .
Court Documents Suggest FTX Reboot Underway
Newly filed court documents suggest that FTX CEO John J. Ray III is considering restarting operations at the bankrupt crypto exchange with activities like reviewing next steps from purchase with purchase (PWP) providers and finalizing material for distribution already underway according to recently filed monthly compensation reports indicating he spent 223 hours working on these activities during April billing $290K for his efforts .