The Bahamas Regulator Denies Requesting FTX To Manufacture New Tokens

The allegations made by FTX debtors have been rejected by the Securities Fee of The Bahamas (SCB), which additionally expresses fear over the truth that the inquiry has been hampered.

In accordance with a press release that was made public on January third, the SCB had to supply clarifications on vital inaccuracies that had been made by John J. Ray III, the consultant of the United States-based FTX debtors, in press and courtroom information.

The Chapter 11 Debtors had made a public problem to the Fee’s assessments of the worth of digital property that had been moved to digital wallets that had been within the authority of the Fee in November 2022.

It acknowledged that these assertions had been primarily based on insufficient data and that the debtors didn’t train due diligence by acquiring data from the Joint Provisional Liquidators. Moreover, it claimed that these statements had been primarily based on incorrect data.

Throughout a courtroom submitting earlier than the USA Home of Monetary Companies Committee, the CEO of FTX, John J. Ray III, testified underneath oath and made public statements alleging that the Fee instructed FTX to mint a considerable quantity of latest tokens. This allegation was made within the assertion.

The Chapter 11 Debtors have additionally mentioned that the digital property which might be within the custody of the Fee and held in belief for FTX prospects and collectors have been stolen. Nonetheless, the Chapter 11 Debtors haven’t supplied any proof to help their assertions.

The Fee expressed its fear that its investigation is being hindered as a result of the Chapter 11 Debtors are refusing to let the Court docket Supervised Joint Provisional Liquidators entry to FTX’s AWS System. The Fee is worried that this denial would jeopardize the inquiry.

The announcement made by the Bahamian securities regulator follows information from courtroom filings made in December 2022, by which FTX attorneys claimed that the federal government of the Bahamas reportedly requested that the previous CEO of FTX, Sam Bankman-Fried (SBF), challenge a brand new cryptocurrency managed by native officers. The announcement comes after the information was made public.

In accordance with the unique allegations, the Bahamas regulator allegedly requested that SBF challenge new digital property with a complete worth of a whole bunch of thousands and thousands of {dollars}.