FTX Bankruptcy Standoff Heats Up as Bahamas Challenges US Case

  • Battle over FTX data heads to Delaware courtroom Wednesday
  • Bahamas demands US court drop bankruptcy of FTX property unit
Sam Bankman-FriedPhotographer: Ting Shen/Bloomberg
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Bahamian court officials scuffled with US-based bankruptcy lawyers over the remains of Sam Bankman-Fried’s crypto empire Wednesday, exacerbating a key tension hanging over the downfall of FTX.

The American legal team has refused to give liquidators appointed by a Bahamian court access to FTX computer systems, claiming securities regulators in the Bahamas cannot be trusted. The lawyers say the Bahamas colluded with Bankman-Fried and his co-founder, Gary Wang, to wrongly access FTX’s system last month and mint new digital coins worth hundreds of millions of dollars.