Image Source : China Visual

BEIJING, November 14 (TMTPOST) —Sam Bankman-Fried (SBF), founder of cryptocurrency exchange FTX, has announced that more than 130 affiliated companies he founded, including exchange FTX.com and quantitative trading company Alameda Research, have voluntarily filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code.

FTX has suspended its cryptocurrency withdrawal business.

SBF also said that he had resigned as CEO of FTX and the position had been replaced by John J. RayIII, who also said he will appoint Stephen Neal as the company's new chairman of the board. Ray, the new head, said, "It is appropriate to file for bankruptcy in line with Chapter 11 of the Bankruptcy Code, which will provide FTX Group with the opportunity to assess its situation and develop a process to best protect the interests of its investors.” He also emphasized that the FTX Group has valuable assets that can only be managed effectively through an organized process.

Binance CEO Zhao Changpeng made a high-profile announcement last Wednesday that he was acquiring the FTX exchange. Two days after that, he announced the abandonment of the acquisition plan, stating that "the problems at FTX were beyond our control and we were unable to help."

Last Friday, TRON founder Sun Yuchen said that TRON is in financing talks with FTX and announced that all TRON system tokens on FTX are open for trading, and TRX tokens are open for withdrawals. "This is just the first step toward an overall solution designed to help all FTX users return to normalcy,"  he said. And after FTX announced bankruptcy last Saturday, Sun said: "Overall, I'm willing to help the suffering peers, and have successfully saved a number of FTX TRX, BTT, JST, SUN and HT users. Because FTX has gone into bankruptcy restructuring process, the follow-up work will continue and we will communicate with the bankruptcy restructuring party to stick to the commitment made to users."