According to recent reports, the Australian Securities regulator has suspended the license of FTX’S Australian Unit until Mid-May. The company has recently filed for bankruptcy and this adds to its list of problems. Read the entire article to find out more about this news piece.
About the suspension
ASIC, which stands for the Australian Securities and Investments Commission, said in a statement that they will be suspending the company’s license until mid-May, which means the company won’t be able to deal with derivative and foreign exchange contracts and give in general advice in the matter. “ASIC is monitoring this situation closely and speaking regularly with international regulators and the external administrators,” the regulator said on Wednesday.
Criminal Investigation against FTX
TX moved its headquarters from Hong Kong to The Bahamas last year, with former CEO Sam Bankman-Fried hailing it as “one of the few places to set up a comprehensive framework for crypto” at the time. On Sunday, the authorities in The Bahamas said they were investigating potential criminal misconduct surrounding the company’s implosion.
“In light of the collapse of FTX globally and the provisional liquidation of FTX Digital Markets Ltd., a team of financial investigators from the Financial Crimes Investigation Branch are working closely with the Bahamas Securities Commission to investigate if any criminal misconduct occurred,” the Royal Bahamas Police Force said in a statement.
About FTX
For people who do not know much about FTX, it is a cryptocurrency exchange platform. Cryptocurrency is not an actual currency, it is money in a digital form. So, therefore, this platform is for people who invest in crypto and has been built by traders for traders. It gives its users a lot of variety in terms of its products and is an ideal platform for any trader, whether experienced or inexperienced.
About Sam Bankman Fried
Sam Bankman Fried is the founder of FTX. He was also the CEO of the company but he recently gave his resignation. The company recently filed for bankruptcy as soon as its founder gave his resignation. “I’m really sorry, again, that we ended up here.” Bankman-Fried tweeted Friday. “Hopefully things can find a way to recover. Hopefully, this can bring some amount of transparency, trust, and governance to them. Ultimately hopefully it can be better for customers.” Bankman-Fried will remain as an adviser to “assist in an orderly transition,” the company said. “I’m sorry. That’s the biggest thing. I f–ked up, and should have done better,” Bankman-Fried tweeted.