Employees of FTX Are Encouraged To Keep Their Life Savings In The Exchange

Concerned about China, FTX relocated its headquarters to the Bahamas right away. 

Many employees regard FTX as a bank where they can deposit their savings. Their money is most likely gone now.

The fast and unexpected drop in the exchange has impacted more than just institutional investors. In addition to losing their employment, many employees have large personal assets locked up in the platform, which are likely to vanish.

According to a Wall Street Journal investigation published last week, the failure of this exchange was caused by former CEO Sam Bankman-use Fried’s of customer monies to pay off Alameda Research’s obligations.

Former FTX Chief Marketing Officer Nathaniel Whittemore said that he and the bulk of the company’s workers had no idea how to handle consumer payments.

According to the investigation, only a limited group of people close to Sam were aware of the company’s flaws. Non-US employees, in particular, treated the exchange as a bank and were unaware that their savings had been spent by the boss.

“You have to appreciate how distraught the ordinary FTX employee is,” Whittemore says. They will not only lose their employment, but they will also most likely lose their whole savings.”

Another former employee, who requested anonymity, stated that many employees kept their wages at the exchange because it was more convenient. According to former employees, Bankman-Fried and other seniors pushed staff to use FTX as a bank.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Website: coincu.com

Chubbi

CoinCu News