US House committee sets Dec. 13 date for Crypto FTX hearing
New York City: The House Financial Services Committee of the United States Congress has announced that it will be holding a hearing to investigate the circumstances surrounding the failure of the cryptocurrency exchange FTX.
The chairwoman of the House Financial Services Committee, Maxine Waters, announced on November 28 that lawmakers will investigate the failure of FTX during the inquiry scheduled for December 13, which is anticipated to be the first in a series of hearings about the failure of a major cryptocurrency exchange. This event was announced for the first time on November 16 but was not scheduled until today.
In a previous announcement, the House committee stated that it expected to hear from individuals and companies that were involved in the events that led to FTX filing for Chapter 11 bankruptcy. These individuals and companies include the former CEO of FTX, Sam Bankman-Fried, as well as Alameda Research and Binance. Andrew Sorkin, a journalist for the New York Times, reported on November 24 that former CEO Bankman-Fried intended to speak at a conference in New York City on November 30, despite the fact that it was reported that Bankman-Fried was still based in the Bahamas at the time of publication.
A hearing entitled “Lessons Learned from the FTX Collapse” is scheduled to take place on December 1 before the Agriculture Committee of the United States Senate. The Chair of the Commodity Futures Trading Commission, Rostin Behnam, is expected to testify at the hearing. It is not clear whether or not Bankman-Fried will also make a statement to the committee should he remain in the country after his trip to New York.
Following the company’s Chapter 11 bankruptcy filing in the District of Delaware on November 11, lawmakers and regulators from around the world have been focusing their attention on FTX. While the Monetary Authority of Singapore has come under scrutiny for failing to warn investors about FTX, the Australian government has stated that its Treasury department intends to implement regulations aimed at improving investor protection in the following year.