DIRS.INFO The most relevant business & tech news

☆ New FTX CEO to tell Congress about bankrupt crypto firm's 'spending binge,' loans to insiders
▼ + stars: | 2022-12-12 | by ( Brian Schwartz | ) www.cnbc.com time to read: +1 min

Ray lists those items among five things that he and his team have discovered since replacing Bankman-Fried last month, when the company filed for bankruptcy. The crypto trading firm imploded in spectacular fashion following a run on assets similar to a bank run. The firm made more than $1 billion in "loans and other payments...to insiders." Alameda's role as a market maker for crypto inspired it to place money into other exchanges that were "inherently unsafe." The committee made Ray's opening testimony public on Monday, a day before the hearing that will focus on FTX's collapse.

☆ Sam Bankman-Fried testifies before the House Financial Services Committee tomorrow
▼ + stars: | 2022-12-12 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailSam Bankman-Fried testifies before the House Financial Services Committee tomorrowCNBC's Kate Rooney joins 'TechCheck' to discuss potential DOJ charges against Binance, Sam Bankman-Fried's scheduled testimony before the House Financial Services Committee tomorrow and record outflows in crypto markets.

☆ Sam Bankman-Fried says he'll take the hot seat and testify before lawmakers probing FTX
▼ + stars: | 2022-12-09 | by ( Sindhu Sundar | ) www.businessinsider.com time to read: +2 min

Sam Bankman-Fried tweeted that he would testify to a House committee this month. The House financial services committee is inquiring into his failed crypto lending company FTX. Committee chair Rep. Maxine Waters emphasized the stunning scope of 'over a million' FTX creditors. The onetime billionaire and former CEO of the crypto lending giant Tweeted on Friday morning that he would testify before the House Financial Services committee at a hearing scheduled for Dec. 13 on his company's failure. Bankman-Fried tweeted that he would address FTX's customers and how it could "return value" to its international base, and suggested more mea culpas could be forthcoming.

Dec 9 (Reuters) - FTX's Sam Bankman-Fried is willing to testify before the U.S. House Committee on Dec. 13, the cryptocurrency exchange's founder said in a tweet on Friday, as regulators investigate his role in the wake of its collapse. loadingA day earlier House Financial Services Committee Chairwoman Maxine Waters told Reuters that she is prepared to subpoena Bankman-Fried if he does not agree to appear before the panel next week. "But as the committee still thinks it would be useful, I am willing to testify on the 13th," he added. In recent weeks, U.S. authorities have sought information from investors and potential investors in FTX, two sources with knowledge of the requests told Reuters. Federal prosecutors in New York are asking for details on any communications such companies have had with the crypto firm and its executives, including Bankman-Fried.

Sam Bankman-Fried, founder and chief executive officer of FTX Cryptocurrency Derivatives Exchange, during a Senate Agriculture, Nutrition and Forestry Committee hearing in Washington, D.C., on Wednesday, Feb. 9, 2022. FTX founder Sam Bankman-Fried has agreed to testify before the House Financial Services Committee at a hearing about the crypto exchange's collapse on Tuesday, he said in a series of tweets Friday morning. There's been a lot of back and forth in Washington over whether lawmakers would have to subpoena Bankman-Fried, who said he would voluntarily testify since the committee "still thinks it would be useful." In his tweet thread, the disgraced former "darling" of crypto appeared to lay blame on Binance founder Changpeng "CZ" Zhao. Before Bankman-Fried agreed to testify, CNBC reported that Waters was not planning to subpoena the ex-billionaire.

☆ U.S. House panel chair says she'll subpoena FTX's Bankman-Fried if needed
▼ + stars: | 2022-12-08 | by ( David Morgan | ) www.reuters.com time to read: +2 min

"We've made it clear that we want Sam at our hearing on Dec. 13. If he does not cooperate, then we are prepared to subpoena," Waters said in an interview in the U.S. Capitol. The crypto exchange filed for bankruptcy last month after a liquidity crisis that saw at least $1 billion of customer funds vanish. She declined to say whether Bankman-Fried would be required to appear in person or could testify by video link. Reporting by David Morgan; Additional reporting by Chris Prentice; Editing by Megan Davies and Daniel WallisOur Standards: The Thomson Reuters Trust Principles.

☆ Sam Bankman-Fried: US lawmakers want answers from FTX founder
▼ + stars: | 2022-12-08 | by ( Allison Morrow | ) edition.cnn.com time to read: +4 min

New York CNN —Lawmakers are demanding that Sam Bankman-Fried, the founder of the failed crypto exchange FTX, appear before the Senate Banking Committee next week over “significant unanswered questions ” surrounding the collapse of his companies. FTX was one of the biggest crypto exchanges in the world until last month, when it faced a sudden wave of customer withdrawals that it couldn’t cover. One of the key questions prosecutors are likely to probe is whether FTX misappropriated customer funds when it made loans to Alameda. The Times said the issue is part of a broadening inquiry into the collapse of FTX, and it’s not clear whether prosecutors have determined any wrongdoing by Bankman-Fried. In a statement to the paper, Bankman-Fried said he was “not aware of any market manipulation and certainly never intended to engage in market manipulation.”

☆ Cryptocurrency firms need to 'come into compliance' with existing rules, SEC Chair Gary Gensler says
▼ + stars: | 2022-12-07 | by ( Chelsey Cox | ) www.cnbc.com time to read: +3 min

Gensler told Yahoo Finance in an interview that the SEC has brought more than 100 enforcement cases in the crypto space, directly challenging lawmakers' questions about the agency's oversight. "We're already suited up," Gensler told Yahoo Finance. The SEC chief said cryptocurrency firms should be held liable for compliance with existing rules. Gensler told Yahoo Finance that the SEC has successfully deterred other suspicious crypto firm activities. Gensler said the SEC would take more enforcement actions if cryptocurrency exchanges will not comply, but he did not elaborate on what those would be.

☆ House Financial Services Chair Waters doesn't plan to subpoena Sam Bankman-Fried to testify at hearing on FTX collapse
▼ + stars: | 2022-12-07 | by ( Brian Schwartz | ) www.cnbc.com time to read: +3 min

House Financial Services Committee Chairwoman Maxine Waters told Democrats she doesn't plan to subpoena former FTX CEO Sam Bankman-Fried to testify at Tuesday's hearing about the crypto exchange's rapid demise, according to people with direct knowledge of the conversation. Those at the meeting say Waters said she wants committee staff try to convince Bankman-Fried to voluntarily testify, those with knowledge of the meeting said. As of late Wednesday, Bankman-Fried has yet to agree to voluntarily testify to the House committee, two of the people explained. Waters invited Bankman-Fried to voluntarily testify before the panel and could always change her mind and subpoena him before Tuesday. John Jay Ray III, the new FTX CEO, is scheduled to testify at next week's House hearing.

☆ Fact Check-Fabricated New York Times headline claiming FTX founder Bankman-Fried accidentally ate 3,000 shrimp
▼ + stars: | 2022-12-06 | by ( Reuters Fact Check | ) www.reuters.com time to read: +2 min

A fabricated headline matching the style of The New York Times claiming that the FTX founder Sam Bankman-Fried mistakenly ate 3,000 shrimp duped some online. Although the screenshot does not feature The New York Times masthead, the typography and style of the supposed headline matches that of the newspaper. “This text was not written or published by The New York Times,” a Times spokesperson told Reuters. A Twitter advanced search via the Times’ official Twitter account does not reveal the headline (archive.ph/wip/44WKA). No such headline about Bankman-Fried eating shrimp was published by The New York Times.

☆ Yellen sees key role for Treasury's racial equity council despite Republican criticism
▼ + stars: | 2022-12-06 | by ( Andrea Shalal | ) www.reuters.com time to read: +2 min

WASHINGTON, Dec 5 (Reuters) - U.S. Treasury Secretary Janet Yellen on Monday said a new racial equity advisory committee, which has drawn the ire of Republican lawmakers, would play a big role in helping the department address acute economic disparities faced by communities of color. Yellen told the inaugural meeting of the 25 members of the Treasury Advisory Committee on Racial Equity that the Biden administration remained focused on ensuring that disadvantaged communities were no longer left behind in the U.S. economy. "The Treasury Advisory Committee on Racial Equity will play a major role in our effort," she said. Yellen in 2021 named Janis Bowdler, a Latina activist and former head of the philanthropic arm of JPMorgan Chase & Co (JPM.N), as the department's first-ever counselor for racial equity. A spokesperson for Brady said the lawmakers had not yet received a reply from Yellen or the Treasury.

☆ The New Congress, Part 1: House
▼ + stars: | 2022-12-06 | by ( Ylan Mui | ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe New Congress, Part 1: HouseThe "red wave" didn't materialize, but Republicans still managed to win back control of the House of Representatives, which includes claiming committee chairmanships. The powerful House Financial Services Committee will be run by Rep. Patrick McHenry of North Carolina. He'll share his views on. the Republican-led chamber's legislative priorities, and his committee's investigative priorities, including next month's hearing on the stunning collapse of the cryptocurrency exchange FTX. CNBC's Ylan Mui interviewed him at the 2022 CNBC CFO Council Summit on November 30, 2022.

☆ Former FTX engineer quietly became multimillion-dollar Democratic donor after new role at cryptocurrency exchange
▼ + stars: | 2022-12-06 | by ( Brian Schwartz | ) www.cnbc.com time to read: +2 min

Former FTX CEO Sam Bankman-Fried wasn't the only company executive who put big money behind campaigns aligned with the Democratic Party. Singh donated $8 million to federal campaigns in the 2022 election cycle, and all of it went to Democrats, according to the nonpartisan OpenSecrets. He was among a handful of former senior officials at FTX who were deeply involved with financing the 2022 midterms. Two years later, Singh donated $1 million to Future Forward USA, a PAC that backed President Joe Biden's 2020 run for president, records show. Singh, who was among the FTX leaders initially fired after the company collapsed, did not return repeated requests for comment.

☆ Meta's Oversight Board criticizes Facebook's special program for VIP users
▼ + stars: | 2022-12-06 | by ( Rohan Goswami | ) www.cnbc.com time to read: +5 min

Meta told the Oversight Board that it "does have a system that blocks some enforcement actions outside of the cross-check system." For most users, content moderation on Facebook and Instagram was historically straightforward. But for a privileged few, the cross-check program activated a different, more human process. It wasn't clear who made a decision to fast-track a content review process to global leadership. In the report, Meta's Oversight Board provided over two dozen recommendations on fixes to the cross-check program.

☆ Bankman-Fried says he will testify before U.S. House committee
▼ + stars: | 2022-12-05 | by ( ) www.reuters.com time to read: +1 min

Dec 4 (Reuters) - FTX founder Sam Bankman-Fried tweeted on Sunday that he would testify before the House Financial Services Committee after he finished "learning and reviewing" the events that led to the spectacular collapse of his cryptocurrency exchange. The U.S. House Financial Services Committee plans to hold a hearing in December to investigate the collapse of FTX and expects to hear from the companies and individuals involved, including founder and CEO Bankman-Fried. Committee Chair Maxine Waters last week invited Bankman-Fried to participate in the panel's hearing on Dec. 13.loading"Once I have finished learning and reviewing what happened, I would feel like it was my duty to appear before the committee and explain," the founder and former FTX CEO wrote in a reply to Waters. Bankman-Fried added that he was unsure if that would happen before Dec. 13.loadingHe rejected suggestions of fraud in a range of interviews last week after his company's collapse stunned investors and left creditors facing losses totaling billions of dollars. Reporting by Akriti Sharma in Bengaluru; Editing by Stephen CoatesOur Standards: The Thomson Reuters Trust Principles.

The answer is simple, according to more than a dozen Washington insiders, FTX employees, and crypto industry observers who spoke with Insider. I don't think anyone believed that he was going to fund candidates who were, quote unquote, committed to ending pandemics who were also hostile to the crypto industry." Alex Wong/Getty ImagesRebuffed by the SEC, Bankman-Fried turned his attention to Congress. "It's not that he was welcoming regulation," says the senior figure in the crypto industry who attended meetings with Bankman-Fried. But while Bankman-Fried was busy wooing Washington, FTX was about to become Exhibit A in the case for more effective oversight of the crypto industry.

☆ U.S. authorities asking FTX investors for information on firm and Bankman-Fried - Bloomberg News
▼ + stars: | 2022-12-02 | by ( ) www.reuters.com time to read: +1 min

Dec 1 (Reuters) - U.S. authorities are asking crypto investors and trading firms who worked closely with FTX to hand over information on the company and its key figures including Sam Bankman-Fried and Caroline Ellison, Bloomberg News reported on Thursday. Attorneys from the U.S. Securities and Exchange Commission's enforcement division also sent similar requests for information to companies that invested in or traded on FTX, the report added. The U.S. Department of Justice's bankruptcy watchdog earlier on Thursday called for an independent investigation into the collapse of crypto exchange FTX. Last month, newly-appointed FTX CEO John Ray had said in a U.S. court filing that there was flawed regulatory oversight and a lack of corporate control of the bankrupt crypto exchange founded by Sam Bankman-Fried. U.S. Attorney's Office for SDNY, SEC, FTX and Caroline Ellison did not immediately respond to Reuters requests for comment.

☆ U.S. CFTC chair to be questioned over FTX collapse by lawmakers
▼ + stars: | 2022-12-01 | by ( Hannah Lang | ) www.reuters.com time to read: +3 min

The hearing, entitled "Lessons Learned From the FTX Collapse, and the Need for Congressional Action", will take place at 10am Eastern Time (1500 GMT). The committee, which oversees the CFTC, could also press Behnam on meetings between the commodities regulator and FTX staff, including founder Sam Bankman-Fried. The CFTC had “many meetings” with FTX over its application to directly clear customer trades, Behnam said Monday at a Financial Times event. Offices for Sen. Debbie Stabenow, the Democratic chair of the Senate Agriculture Committee, along with its Republican ranking member Sen. John Boozman did not immediately respond to a request for comment. Many Senate Agriculture Committee members have previously agreed with Behnam that the CFTC should take on a larger role.

☆ Former FTX CEO Sam Bankman-Fried says he didn't 'try to commit fraud'
▼ + stars: | 2022-11-30 | by ( Elizabeth Napolitano | ) www.nbcnews.com time to read: +5 min

A growing number of regulators are investigating Bankman-Fried and his former company, and the fallout from the collapse of FTX is only expanding. The broader industry consequences also continue to play out, with the crypto firm BlockFi filing for bankruptcy last week. Days after the CoinDesk report, FTX rival Binance announced it would sell its FTX holdings, setting off a bank-run-style rush of withdrawals. What matters here are the stakeholders in FTX," Bankman-Fried said. Bankman-Fried and his associates greenlighted lavish expenditures, including $300 million for real estate purchases in the Bahamas for FTX and Alameda employees, according to filings from current FTX attorneys.

☆ U.S. Senate to hold FTX hearing on Dec. 1, CFTC chairman to testify
▼ + stars: | 2022-11-21 | by ( ) www.reuters.com time to read: +1 min

Nov 21 (Reuters) - The U.S. Senate Agriculture Committee on Thursday said it will hold a hearing on Dec. 1 to examine the sudden collapse of FTX, one of the world's biggest crypto exchanges. FTX filed for bankruptcy on Nov. 11, leaving an estimated 1 million customers and other investors facing billions of dollars in total losses. Rostin Behnam, the chairman of the Commodity Futures Trading Commission, is the first witness named for the hearing, titled, "Why Congress Needs to Act: Lessons Learned from the FTX Collapse." U.S. Senate Agriculture Committee Chair Debbie Stabenow also on Thursday called on Congress to pass the bipartisan Digital Commodities Consumer Protection Act, which she said, "would have prohibited the misconduct and risky behavior undertaken by FTX." The U.S. House Financial Services Committee has also said it plans to hold a hearing in December to investigate FTX's collapse.

☆ Lower valuations, regulatory crackdowns, and a push for DeFi: 5 VCs break down their crypto-market outlooks after FTX's swift downfall
▼ + stars: | 2022-11-21 | by ( Morgan Chittum | ) www.businessinsider.com time to read: +9 min

FTX, the crypto exchange once worth $32 billion, filed for Chapter 11 bankruptcy on Nov 11. FTX, the crypto exchange reportedly worth $32 billion in February, filed for Chapter 11 bankruptcy on Nov. 11. A regulatory crackdown and the bull case for DeFiInsider asked five venture investors about their biggest takeaways from the fallout. "First, the crypto market is being de-leveraged, which paves the way for the next upturn. Risks of FTX's downfall could have been mitigated with a "hands on approach" by venture investors.

☆ 'There is no such thing as a free lunch.' 4 lessons for crypto investors from the FTX collapse
▼ + stars: | 2022-11-20 | by ( Kate Dore | Cfp | ) www.cnbc.com time to read: +4 min

Bahamas-based crypto exchange FTX filed for bankruptcy in the U.S. on Nov. 11, 2022, seeking court protection as it looks for a way to return money to users. "I think the collapse of FTX will end up being good for traditional finance companies like Fidelity who are entering the crypto space, because they come with a certain level of trust," Lum said. Earlier this month, Fidelity Investments announced plans to launch a commission-free crypto product, allowing investors to buy and sell bitcoin and ether. The FTX collapse has also renewed interest in cold storage, or taking digital currency offline, making it less susceptible to hacks. The [FTX] collapse should be a lesson that any individual company — be it a crypto exchange or more traditional business — can go bankrupt in times of distress.

☆ Elizabeth Warren demands Sam Bankman-Fried and FTX turn over trove of records
▼ + stars: | 2022-11-17 | by ( Matt Egan | ) edition.cnn.com time to read: +6 min

Elizabeth Warren and Dick Durbin are demanding FTX founder Sam Bankman-Fried hand over a trove of documents that will shed light on the extraordinary and swift downfall of his crypto exchange. “Billions of dollars worth of investor funds seem to have disappeared into the ether,” Warren and Durbin wrote. The committee said it expects to hear from the companies and individuals involved, including Bankman-Fried. That Reuters report said Bankman-Fried used this “backdoor” to transfer $10 billion in FTX customer funds to Alameda, the hedge fund, and at least $1 billion is now missing. Warren and Durbin ask in their letter if Bankman-Fried did in fact use a “backdoor” to transfer FTX customer funds and, if so, who else knew about it.

Jennifer Schulp, a director at the libertarian think tank Cato Institute, said the Republicans' unexpectedly tight margin of control in the House will not prompt them to tone down their rhetoric. 'REGULATORY EXUBERANCE'Patrick McHenry, a North Carolina Republican in line to lead the House Financial Services Committee in the new Congress, said in an emailed statement to Reuters before the election that Biden's administration "is pushing its agenda through financial regulators because they don’t have the votes to pass it in Congress." "Committee Republicans will work together to conduct appropriate oversight of activist regulators and market participants who have an outsized impact," McHenry said. "The appropriations process in the House will be a messaging exercise, and it's less worrisome since the Democrats will have the Senate," McGannon said. While those Senators will not be in the majority, House Republicans have also criticized companies on ESG-related matters.

☆ Rep. Maxine Waters on the congressional investigation into FTX collapse
▼ + stars: | 2022-11-17 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailRep. Maxine Waters on the congressional investigation into FTX collapseU.S. Representative Maxine Waters, chair of the House Financial Services Committee, joins 'Closing Bell' to discuss the need for regulation on crypto currency, the criminal investigation into claims of fraud against FTX's Sam Bankman-Fried and the likelihood representatives will return congressional contributions made by Bankman-Fried.

Search resuls for: "House Financial Services Committee"

25 mentions found