FTX to Fully Repay Customers and Abandon Exchange Revival Plan
FTX, the crypto exchange founded by Sam Bankman-Fried, has abandoned plans to restart and will instead liquidate assets to repay over $7bn to customers after failing to secure enough funding to rebuild. Bankman-Fried, convicted on fraud charges, faces a lengthy prison term. The company's collapse was attributed to a liquidity crisis caused by lending customer funds to its sister hedge fund without disclosure. Despite complaints about using November 2022 cryptocurrency prices for repayments, FTX aims to fully reimburse customers, with a sentencing hearing for Bankman-Fried set for 28 March.