Turkey’s Ministry of Finance Opens Investigation Into FTX Founder

The Ministry of Finance of Turkey has opened an investigation into Sam Bankman-Fried (SBF) following the collapse of his firm FTX.

Sam Bankman-Fried, ex-CEO of FTX, is the subject of an inquiry into possible fraudulent activity in Turkey, according to a statement released by the country’s Treasury and Finance Ministry on Wednesday. 

During the course of the inquiry, Turkish authorities also took possession of the assets held by Bankman-Fried and its other affiliated companies. Turkey’s Financial Crimes Investigation Agency has previously launched the investigation.

The nation’s Financial Crimes Investigation Board (MASAK) is the one who initiated the investigation, according to Nureddin Nebati, the Minister of the Treasury and Finance.

Nebati stated that the market for cryptocurrencies ought to be addressed with “maximum caution” in order to highlight the dangers that digitization has brought in addition to the potential it has brought.

FTX Attracting Attention Of Regulators

FTX, which was ranked as the world’s third-largest cryptocurrency exchange by daily trading volume, filed for Chapter 11 bankruptcy as a result of its significant drop on November 11. 

On November 20th, the United States bankruptcy court for the district of Delaware submitted the fact that FTX Trading Ltd. disclosed a debt to its top 50 creditors of approximately $3 billion.

Notably, there are a lot more investigations coming at the issue from all possible angles. 

The current inquiry into possible criminal behavior is being conducted by the Royal Bahamas Police Force. Notably, the Securities Commission of the Bahamas (SCB) and financial investigators have begun looking into the defunct FTX Digital Markets Ltd. office on the island.

Despite the fact that Bankman-Fried eventually issued an apology to investors in a series of tweets and recently in the form of an internal letter, the value of cryptocurrencies has since continued its precipitous decline due to the ongoing financial upheaval and the perceived risks that investors face.

Two weeks ago, the price of Bitcoin fell below $16,000, wiping out all of the gains it had made over the previous two years due to collapse of FTX.