Reading Time: 2 minutes
- A UnitedStates judge hasactually authorized a $12.7 billion settlement inbetween FTX and the CFTC
- District Judge Kevin Castel hasactually purchased FTX to pay $8.7 billion in restitution and $4 billion in disgorged gains
- The CFTC will now focuson compensating financialinstitutions over pursuing extra civil financial charges versus FTX
A $12.7 billion settlement inbetween FTX and the Commodity Futures Trading Commission (CFTC)has been authorized by a UnitedStates judge, guaranteeing that consumers who suffered considerable losses due to the exchange’s deceptive activities will be compensated. US District Judge Kevin Castel verified that FTX will pay $8.7 billion in restitution and an extra $4 billion in disgorged gains, intended at more compensating the victims. The CFTC will now not pursue extra civil financial charges versus FTX and will rather focus on getting these funds to financialinstitutions.
FTX Created “Illusion” That It Was Safe
The CFTC and FTX agreed on the bumper settlement last month following the previous’s preliminary claim for $52.2 billion, with the firm declaring that the exchange drew clients in with “an impression that it was a safe and safe location to gainaccessto crypto markets,” according to CFTC Chairman Rostin Be