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Crypto giant FTX to file for bankruptcy, CEO Sam Bankman-Fried steps down

By- Avnish kushwaha

Image Credit -Google

The crypto giant FTX and its affiliated companies have started the process of filing for Chapter 11 bankruptcy, with founder Sam Bankman-Fried stepping down as CEO.

By- Avnish kushwaha

Image Credit -Google

The filing represents a staggering turn for the cryptocurrency exchange, once reportedly valued at $32 billion

By- Avnish kushwaha

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The resignation of Bankman-Fried, 30, is stunning. He was a crypto wunderkind who graced the cover of Forbes and Fortune

By- Avnish kushwaha

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Bankman-Fried sent out a series of tweets on Friday stating his hope that FTX would be able to continue as a going concern following its bankruptcy.

By- Avnish kushwaha

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“I’m piecing together all of the details, but I was shocked to see things unravel the way they did earlier this week,” he said.

By- Avnish kushwaha

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Chapter 11 bankruptcy allows a company to come up with a plan to reorganize itself and keep its business alive while it works to pay back its creditors.

By- Avnish kushwaha

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The fallout from the crisis has also cascaded into Bankman-Fried's philanthropic group, Future Fund.

By- Avnish kushwaha

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Bitcoin, which had already been in a recent slump, declined further on Friday to as low as $16,500. It traded at around $22,000 in September.

By- Avnish kushwaha

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Founded in 2019, FTX had within two years grown to 1 million worldwide users, with an average of $10 billion in daily trading volume

By- Avnish kushwaha