The FTX saga continues as the chair of this commission insists on obtaining SBF certification

  • Committee Chair Maxine Waters said she expects the SBF to testify before the House Committee
  • The Australian regulator has accused FTX Australia of exploiting loopholes to obtain a license

Publicly liking more companies condition Their exposure to FTX continues to flood the history of the bankrupt exchange. Sam Bankman Fried, the central man in it all, has given several interviews trying to justify his role in it all.

However, the SBF’s recent exchange with a House committee member has increased the likelihood of a finding against the SBF. The chances of the company being subject to a major scrutiny along with the SBF have increased dramatically.

Will the SBF testify?

Maxine Waters, Chairman, Financial Services Commission, Public Criticize Former FTX CEO Sam Bankman-Fried. The SBF stated that it did not want to testify until after it had “learned and investigated what happened on the exchange”.

In addition, Waters tweeted on December 6 that Bankman Fried had enough information to testify. This can be confirmed on the basis of the numerous media interviews he gave after the bankruptcy of the agency.

On December 13, Waters will preside over a hearing investigating the case FTX. The commission said explicitly that it expected Bankman Fried and others involved in the events surrounding the stock market crash to testify.

It remains to be seen if the SBF responds to the subpoena, but it has become clear that the US legal system will investigate the incident.

FTX exploited ASIC vulnerabilities

On December 5, the head of the Australian Securities and Investments Authority, Joseph Longo, said the defunct exchange could gain a license in Australia by exploiting legal loopholes. The statement has been made Before a joint parliamentary commission of inquiry into business and financial services.

When asked how and why ASIC allowed FTX to have the AFSL on its watch, Longo defended the regulator. He stated that organizational failure prevented ASIC from acting and carrying out appropriate checks.

Due to the acquisition of IFS Markets in December 2021, FTX allegedly avoided the normal procedures of acquiring AFSL. The chairman of the board also requested that this loophole be closed so that nothing like this could happen again, according to reports from Australian Financial Review.

More about the FTX board

during most of his life Recent interviewSBF provided some additional details about the FTX crash. When asked if FTX had a Chief Financial Officer (CFO), he indirectly indicated that there was no such position. However, he added that investors can still feel optimistic that FTX US is still solvent.

SBF further argued that most of the observations by John Ray – Already entered into the Book of Judgment – it was void. He said no one on FTX’s current team has contacted him for more information. Moreover, he did not clarify whether the investors knew Alamedas FTX access.

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