In a tweet, former FTX CEO Sam Bankman-Fried has agreed to testify to Congress about the collapse of the crypto exchange.
FTX, which was one of the largest and most popular cryptocurrency exchanges, suddenly collapsed last month, causing widespread panic and significant financial losses for its customers. Bankman-Fried, who was running the crypto exchange up until its collapse, was seen as a hero for the crypto community until the “run on the bank” over its FTT token.
After customers rushed to get their money from the exchange, the entire company collapsed. FTX and Alameda Research, the company’s trading firm, filed for Chapter 11 bankruptcy on November 11, and Bankman-Fried stepped down as CEO. The Committee has not yet announced the specific date or time of Bankman-Fried’s testimony, but it will likely take place next week if Bankman-Fried is true to his word. The former CEO has been on a bit of a press tour since the collapse, appearing at a number of interviews and events remotely, so it wouldn’t be surprising to see him show up digitally for the congressional testimony as well.
In the meantime, the investigation into the collapse of FTX continues, with authorities and industry experts working to determine the exact cause and to identify any potential wrongdoing. Most are looking at the company as a fraud case. The outcome of the investigation could have significant implications for the future of the cryptocurrency industry, as well as for the individuals and organizations involved.
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