John J. Ray is pushing back Bankman-Fried’s claims about FTX’s solvency

Mar 21, 2024
The current CEO of FTX is John J. Ray III opposes the claims of his predecessor Sam Bankman-Fried about the loss of assets by clients as a result of the collapse of the stock exchange in 2022.

In Ray’s statement on the consequences for the victims, it is reported that Bankman-Fried’s statements about the solvency of the crypto exchange are not true.

Bankman-Fried and his legal team had previously insisted on the return of assets, arguing in their February verdict that the damage to clients, creditors and investors was zero, so Judge Kaplan should consider the possibility of a maximum penalty of 6.5 years in prison. Recall that prosecutors requested 40-50 years, and the probation department requested 100 years.

Due to the fact that FTX managed to raise enough money and pay off the exchange’s customers, the market value of BTC began to grow. At the same time, Ray claims that Fried’s activities in detecting all kinds of assets are criminal. At the time of the collapse, there were only 105 BTC on the FTX trading platform, while customers owned more than 100,000 BTC.

Some of the lost assets have been recovered, while others, including bribes to Chinese officials and hundreds of millions of dollars of investments, have disappeared forever. In Ray’s opinion, Sam Bankman-Fried’s effective altruism was a lie. Many FTX clients are still extremely unhappy with the valuation of their assets, as the funds were returned based on the value of the portfolios for the period of bankruptcy.