In a stunning public statement, Sam Bankman-Fried (SBF), the convicted founder of the collapsed FTX exchange, has claimed that FTX was never bankrupt and that the Chapter 11 filing was a "bogus" process forced by external lawyers. This directly contradicts the official record, where FTX and over 130 affiliated entities filed for bankruptcy in November 2022 following a catastrophic liquidity crisis and allegations of customer fund misuse.
SBF stated, "FTX was never bankrupt. I never filed for it." He elaborated that internal reviews, including sworn testimony and technical audits, allegedly showed FTX.US was solvent with separate accounts and sufficient assets to cover customer obligations. He argued that the exchange could have been sold or used to repay customers over time without shutting down. SBF specifically accused the law firm Sullivan & Cromwell of pushing for the bankruptcy to secure large legal fees, mentioning over $200 million held by LedgerX that could have covered costs.
These remarks come while SBF is serving a 25-year prison sentence after being found guilty on seven counts of fraud and conspiracy related to losses estimated near $8 billion. He framed his latest comments as an attempt to correct the narrative, alleging that prosecutors hid evidence helpful to his defense and pressured witnesses like former executive Ryan Salame.
The crypto community has reacted with widespread skepticism, dismissing the claims as revisionist history. Observers and legal experts note that while SBF may not have personally signed the filing—it was executed by new CEO John Ray III after SBF's resignation—his portrayal is considered misleading. The statements have reignited debate over the true financial state of FTX at the time of its collapse and the legal strategies employed during its downfall.
