VOT Research Desk
Sam Bankman-Fried, the former CEO of FTX, has resigned from his position but will stay on to help with a smooth transition before John Ray takes over.
Within a week, FTX went from suggesting an acquisition by Binance to address its liquidity issues to moving forward with filing for Chapter 11 bankruptcy in the District of Delaware.
About 130 FTX Group firms, including FTX Trading, FTX US, which operates under West Realm Shires Services, and Alameda Research, have begun the process of filing for bankruptcy in the United States, according to a tweet from FTX on November 11. Sam Bankman-Fried, the CEO of FTX, has also left his job; John Ray will take over as CEO going forward.
According to Ray, the Chapter 11’s immediate relief is necessary to give the FTX Group the chance to evaluate its situation and create a procedure that will maximise recoveries for stakeholders.
The FTX Group has valuable assets that can only be managed profitably through a planned, collaborative process.
