How a thirty-two billion dollar cryptocurrency exchange collapsed into bankruptcy

FTX was recently valued at thirty-two billion dollars before filing for bankruptcy protection. This video examines the factors behind the sudden collapse of the exchange and the role of influencers who promoted the platform to their followers.

The bankruptcy filing, submitted in a Delaware federal court on a Friday, encompasses the primary FTX international exchange, the US-based marketplace FTX US, and Sam Bankman-Fried’s proprietary trading firm, Alameda Research. In total, the filing includes approximately 130 affiliated companies.

The collapse of such a high-valuation entity highlights the volatility within the cryptocurrency sector and raises questions regarding the promotion of these platforms by influencers.

Source: FTX Bankruptcy Explained!