Did FTX steal $473 million in crypto assets?

The Bahamas probe came a day after the bankrupt exchange said it was launching an investigation of its own. On Saturday, FTX said it was looking into whether crypto assets were stolen. Crypto risk management firm Elliptic said $473 million in crypto assets appear to have been nabbed from FTX.

Why did FTX collapse?

FTX, backed by elite investors like BlackRock and Sequoia Capital, rapidly became one of the biggest crypto exchanges in the world. Its collapse was preceded by the decision to lend billions of dollars’ worth of customer assets to fund risky bets by Alameda, Bankman-Fried’s crypto hedge fund, The Wall Street Journal reported on Thursday.

Can FTX go bankrupt?

“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,” said Kevin Brady, a CFP and vice president of Wealthspire Advisors in New York.

How is crypto different from FTX?

Crypto.com has 70 million people on its platform globally, and its business model is “completely different” from FTX, he added. “We never took any third-party risks, we do not run a hedge fund, we do not trade customer assets,” he said.