John Ray News

FTX will have between $14.5 billion to $16.3 billion to pay its creditors and customers, according to an amended reorganization plan filed by the company on Tuesday in a U.S. bankruptcy court.

Failed crypto exchange FTX is seeking creditors vote on a liquidation plan, to wind-down payments in order to compensate customers.

The FTX estate, led by CEO John Ray III, has divested its remaining shares in Anthropic, the AI startup known for its chatbot Claude, as revealed in the firm’s recent bankruptcy filings.

Cryptocurrency exchange FTX has amassed billions of dollars more than it needs to cover what customers lost in its November 2022 collapse, setting them up to receive full recoveries, plus interest, a rare outcome in U.S. bankruptcy proceedings.

Bankman-Fried's lawyers have seized upon the skyrocketing prices of various cryptocurrencies and AI assets held by FTX, arguing that this development could mitigate the financial harm caused by their client's actions. They have made a bold claim, stating: “Each victim... will receive 100 cents on the dollar, plus interest." The defence team has argued for a lenient sentence for Bankman-Fried citing the recovery efforts in the aftermath of FTX's collapse.

FTX’s caretaker chief executive has branded Sam Bankman-Fried a deluded criminal who masterminded a “colossal fraud,” and accused the bankrupt cryptocurrency exchange’s founder of lying about the losses incurred by former customers in an attempt to reduce his sentence.

John Ray III, the CEO and restructuring officer of FTX, has criticized an attempt made by Sam Bankman-Fried’s lawyers to reduce his sentence, emphasizing that the victims of the fraud “have suffered and continue to suffer.” 

By Dietrich Knauth

FTX on Monday sued the parents of founder Sam Bankman-Fried, saying that Stanford professors Joseph Bankman and Barbara Fried used the company to enrich themselves at the expense of FTX's customers. FTX, now being led by turnaround specialist John Ray, said that company founder Sam Bankman-Fried ran FTX as a «family business» and misappropriated billions in customer funds for the benefit of a small circle of insiders, including his parents. Sam Bankman-Fried has pleaded not guilty to charges that he defrauded FTX customers by using their funds to prop up his own risky investments. He is currently jailed ahead of a trial scheduled to begin October 3. Other former FTX executives have pleaded guilty to criminal charges.

The bankrupt crypto exchange FTX’s new management has proposed to reboot the exchange for offshore customers only, but holders of the FTT token would not benefit from the plan.

On July 31st, under its new CEO, John J. Ray III, the bankrupt cryptocurrency exchange FTX Trading Ltd. submitted a draft plan to "reboot" the collapsed crypto exchange.

Investing.com -- Sam Bankman-Fried is set to appear in a federal court on Wednesday as a judge considers whether to bar the founder of the now-bankrupt cryptocurrency exchange FTX from making public statements ahead of his upcoming fraud trial.

Bankman-Fried is being sued along with three former executives by FTX. The legal action has been led by John Ray, a refinancing specialist who succeeded Bankman-Fried as chief executive of FTX following its collapse in November 2022. 

Now-defunct cryptocurrency exchange FTX has filed a complaint against former CEO Sam Bankman-Fried and other key executives to retrieve more than $1 billion in allegedly misappropriated funds. 

By Jonathan Stempel

FTX Trading on Thursday sued founder Sam Bankman-Fried and other former executives of the cryptocurrency exchange, seeking to recoup more than $1 billion they allegedly misappropriated before FTX went bankrupt. The complaint filed in Delaware bankruptcy court also names as defendants Caroline Ellison, who led Bankman-Fried's Alameda Research hedge fund; former FTX technology chief Zixiao «Gary» Wang; and former FTX engineering director Nishad Singh. FTX said the defendants continually misappropriated funds to finance luxury condominiums, political contributions, speculative investments and other «pet projects,» while committing «one of the largest financial frauds in history.» The alleged fraudulent transfers occurred between February 2020 and November 2022 when FTX filed for Chapter 11 protection, and can be undone--or «avoided»--under the U.S.

FTX Trading on Thursday sued founder Sam Bankman-Fried and other former executives of the cryptocurrency exchange, seeking to recoup more than US$1 billion they allegedly misappropriated before FTX went bankrupt.

FTX is moving ahead with efforts to revive its flagship international cryptocurrency exchange, the Wall Street Journal reported on Wednesday citing CEO John Ray. The company «has begun the process of soliciting interested parties to the reboot of the FTX.com exchange,» Ray said, according to the Journal's report. The failed crypto company has been holding talks with investors about backing a potential restart of the FTX.com exchange through structures such as a joint venture, the report added citing people familiar with the discussions. FTX debtors declined to comment on the report.

Bankrupt crypto exchange FTX is one step closer to relaunching as an entirely new exchange.

The sale of FTX's $500 million stake in artificial intelligence startup Anthropic has reportedly been put on hold, adding a potential delay to the bankrupt crypto exchange's efforts to fill a $2 billion remaining hole in its balance sheet.

The new leadership team at FTX has recouped approximately $7 billion in liquid assets as the exchange continues recovery efforts.