FTX’s incredibly crazy week just came to a crashing end as the company officially announced that they have filed for Chapter 11 bankruptcy in the United States, and FTX CEO and founder Sam Bankman-Fried has resigned from his role, according to TechCrunch.
Additionally, around 130 affiliated companies, which include FTX US and Alameda Research, have also started their bankruptcy process, but its U.S. options platform LedgerX, alongside FTX Australia and FTX Express Pay are not included in the proceedings, according to an official statement.
In the aftermath, John J. Ray III has been appointed as the new CEO.
“The immediate relief of Chapter 11 is appropriate to provide the FTX Group the opportunity to assess its situation and develop a process to maximize recoveries for stakeholders,” Ray said in a statement.