It seems like the future of FTX, the cryptocurrency exchange platform, is uncertain. The platform, which is the flagship company of Sam Bankman-Fried’s crypto empire, filed for bankruptcy in November, but there may be hope for a comeback.
According to John Ray, the CEO appointed to handle the liquidation, some FTX executives, customers, and investors are praising FTX technology despite the criminal charges filed against founder and former CEO, Bankman-Fried. This suggests that there could be value in rebooting FTX. Ray, who is known for having piloted the liquidation of the bankrupt energy trader Enron, stated, “Everything is on the table. If there is a path forward on that, then we will not only explore that, we’ll do it.”
However, the final decision will depend on whether relaunching FTX allows customers and investors to recover more of their funds or whether the liquidation of assets or even the sale of the platform is more beneficial for creditors.
The new CEO of FTX also criticized the behavior of his predecessor, who had indicated in media interviews and recent posts that the bankruptcy filing was not the only option for FTX. “We don’t need to be dialoguing with him,” Ray said, referring to Bankman-Fried. “He hasn’t told us anything that I don’t already know.”
This is a developing story and it remains to be seen what the future holds for FTX.
