• FTX attorneys asked for evidence related to their wealth and other money received from the bankrupt exchange.
  • Sam Bankman-Fried's mother and brother are reportedly not cooperating with the ongoing investigation into FTX.
  • FTT price took a break to cool down following the 185% rally to trade at $1.916.

FTX saga seems to be getting personal as the bankrupt exchange's lawyers are now targeting not the founder but his family members. Sam Bankman-Fried, despite being cooperative and helpful as much as even going to jail, has failed to turn up all the information about the misappropriated funds, resulting in the current development.

FTX founder family under scope

FTX lawyers, in a legal filing on Wednesday, stated that Sam Bankman-Fried, the former CEO of the bankrupt exchange, might have moved his funds around, bringing his family into the equation. Apparently, family members of the disgraced executive are also involved in the investigation. 

However, the lack of cooperation from these entities' has led the cryptocurrency exchange's lawyers to file a probe to look into Bankman-Fried's parents, who are acting as "advisors". In the case of the bankrupt son's exchange, his family would also be subpoenaed to figure out what happened to the misappropriated funds. The filing further added,

"The Debtors and their advisors have been working tirelessly and nonstop over the last 70 plus days … to implement controls, recover and protect estate assets. Key questions remain, however, concerning numerous aspects of the Debtors' finances and transactions."

The lawyers stated that if need be, Sam Bankman Fried's family members should be forced to answer the questions and provide any and every financial record. 

According to reports, Bankman-Fried's mother offered tax advice to FTX employees as well as help with who to recruit. His father, too, has been a part of advising their son. However, the latter is willing to cooperate and find a consensual outcome.

FTT price rise slows down

FTT price, after registering a 185.22% rise in the last four weeks, took a break in the last few days as the broader market's bullish rally slowed down as well. Trading at the price of $1.940 at the time of writing, the altcoin declined from $2.4 by nearly 22%.

FTT/USD 1-day chart

FTT/USD 1-day chart

FTX's bankruptcy proceedings, on the other hand, continued as January came close to an end with the federal prosecutors seizing $700 million worth of assets earlier this month. The assets tied to Sam Bankman-Fried also included the 55 million Robinhood shares, which the likes of BlockFi attempted to claim ownership of.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Three reasons why Chainlink could rally

Three reasons why Chainlink could rally

Chainlink has noted accumulation by large wallet investors for the past two weeks. Nearly $110 million in LINK has been withdrawn from exchanges in this time period. LINK sustained above $13 on Sunday, extending gains by nearly 1%. 

More Chainlink News

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple rallied over 19% in the past seven days per CoinGecko data. The altcoin broke past resistance at $0.50 on the one-year anniversary of Judge Analisa Torres’ XRP ruling. 

More Ripple News

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin extended gains post the shooting at the rally of US Presidential candidate Donald Trump. The former President is a pro-crypto candidate, and a report by Fortune shows that Trump’s chances of winning the race increased after the Saturday events.

More Bitcoin News

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum (ETH) traders are watching two key events closely: the anticipated approval of the Spot Ether ETF and the activities of whales, the large wallet investors holding ETH. An analyst has predicted that the odds of Spot Ether ETF is 72.7% this week. 

More Ethereum News

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows. On-chain analytics indicate that whales are accumulating BTC during dips, potentially foreshadowing an imminent rally in the days ahead.


Read full analysis