John Jay Ray III, who led the notorious energy giant Enron through tumultuous bankruptcy proceedings and a series of settlements in the early 2000s, cryptocurrency exchange took over the CEO of FTX.
Former CEO Samuel Bankman-Fried, who made FTX the major international cryptocurrency exchange, resigned Friday morning as the company filed for bankruptcy.
John Jay Ray III Known For Managing Bankrupt Companies Like FTX
Ray III was notorious for having a kind of Midas touch to his approach to troubled companies. Ray III, formerly Overseas Shipholding Group Inc. and Nortel Networks Inc. He had served as chief restructuring officer and plan executive in high-profile bankruptcy cases involving leading companies such as
During his tenure at Enron, Ray III led efforts that ensured that more than $20 billion was returned to defrauded investors. He also gained a reputation for opposing Wall Street and its interests.
FTX’s change of directors comes at a time when the firm faces growing legal challenges, including a joint investigation into mismanagement of user funds by the Securities Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Gabriella Kusz, CEO of the Global Digital Asset and Cryptocurrency Association, says that FTX’s legal and financial woes are reminiscent of Enron’s woes in the early 2000s, and she hopes it will lead the industry to change in the long run:
“It seems that the crypto industry is experiencing some kind of ‘Enron’ moment.
Similar to post-Enron, we believe individuals and institutions will move capital away from less regulated/less transparent exchanges and towards those that have built largely compliant, regulated and transparent operations.”
*Not investment advice.
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