FTX's New CEO Exposes Years of Customer Fund Misuse and Deception

FTX's new CEO, John J. Ray III, released a report alleging that senior executives, including former CEO Sam Bankman-Fried, lied to banks about the misuse of customer deposits and commingled funds. The report claims that customer deposits were used for speculative trading, venture investments, luxury property purchases, political donations, and personal gain. FTX collapsed owing customers nearly $8.7 billion. Bankman-Fried, who accumulated an estimated net worth of $26 billion, faces federal charges related to the collapse and has pleaded not guilty. Three top executives have pleaded guilty and are cooperating with investigators. FTX's new CEO aims to recover assets to repay customers.