FTX Employees Aware of Alameda Backdoor Prior to Collapse: WSJ

Several employees at FTX, including those from LedgerX, reportedly knew about a backdoor in the exchange that allowed Alameda Research to withdraw billions in customer funds. The issue was flagged to FTX's director of engineering but was never fixed. LedgerX's chief risk officer, who raised concerns about the problem, was fired in August 2022. The news comes as FTX founder Sam Bankman-Fried faces charges of wire fraud, with one of his deputies expected to testify against him.