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FTX is under investigation by the SEC, CFTC, and the U.S. Department of Justice.

FTX is under heavy pressure for violating securities laws, mishandling customer funds, and shady ties with other crypto firms.

By Finst News
• 3 min read
FTX is under investigation by the SEC, CFTC, and the U.S. Department of Justice.

FTX is under heavy pressure for violating securities laws, mishandling customer funds, and shady ties with other crypto firms. U.S. authorities are taking the lead on the probe.

American regulators are examining how FTX handled customer money and collaborations with other companies tied to Sam Bankman-Fried. This is reported by Bloomberg based on three insiders.

Customers cannot withdraw funds

According to the report, the SEC is also focusing on the failed Binance–FTX takeover. The U.S. Department of Justice is also investigating, according to the Wall Street Journal, the liquidity problems at FTX. Violations of U.S. securities laws are part of the probe, and the full scope of the crash remains unclear. Customers currently cannot withdraw funds, FTX warns for deposits.

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