Failed Oversight, Celebrity Endorsements and Liability for the Crumbling of the FTX Crypto Exchange

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On November 11, 2022, the cryptocurrency exchange FTX declared bankruptcy, and its founder and CEO, Sam Bankman-Fried, resigned his position. This followed a turbulent week which started when reports emerged abouts dubious business practices by FTX and Bankman-Fried that cast doubt on the financial stability of FTX. In our latest blog, we provide legal analysis of the class-action lawsuit that was filed in federal court in the Southern District of Florida on November 15, seeking damages on behalf of investors in FTX.