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ARTICLE · 09 JANUARY 2023

The FTX Collapse: Key Takeaways

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Globally, the crypto industry is still unravelling the collapse of FTX. While it prima facie appears to be a case of inexperience and poor governance - to a point of being criminal...

IndiaTechnology
Suhail Nathani
Suhail Nathani
Yash Desai
Yash Desai
Stella Joseph
Stella Joseph
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Globally, the crypto industry is still unravelling the collapse of FTX. While it prima facie appears to be a case of inexperience and poor governance - to a point of being criminal, this article discusses what could be the key takeaways for regulators of the crypto industry. There are also growing voices to ban crypto trade outright, but that would be a case of throwing the baby out with the bath water. Instead, there should be learnings on how to regulate a technology industry which is not limited by international boundaries and has benefits for the future. In fact, cross border regulation of technology is here to stay and sooner we gear up, better for us all.

FTX, founded in 2019 by Sam Bankman-Fried ("SBF") and Gary Wang, operated as one of the largest crypto currency exchange platforms globally. The exchange, ftx.com, operated from the Bahamas, and targeted customers globally. A separate platform, ftx.us, targeted US customers.

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