FTX, at one point the world’s third largest cryptocurrency exchange, went bankrupt, causing the entire cryptocurrency industry to crash. In this episode, hear highlights from Congressional testimony that will explain how FTX was able to grow so large while committing blatant fraud, how it’s possible that the government didn’t know and didn’t do anything to stop it, and hear about a Senate bill that’s branded as a solution but has concerning flaws of it’s own. Please Support Congressional Dish – Quick Links Contribute monthly or a lump sum via PayPal Support Congressional Dish via Patreon (donations per episode) Send Zelle payments to: Donation@congressionaldish.com Send Venmo payments to: @Jennifer-Briney Send Cash App payments to: $CongressionalDish or Donation@congressionaldish.com Use your bank’s online bill pay function to mail contributions to: 5753 Hwy 85 North, Number 4576, Crestview, FL 32536. Please make checks payable to Congressional Dish Thank you for supporting truly independent media! View the show notes on our website at https://congressionaldish.com/cd265-policing-ftx Background Sources Recommended Congressional Dish Episodes CD264: Cryptocurrencies and Blockchain CD235: The Safe Haven of Sanctions Evaders What is FTX? “What is FTX?” Timothy Smith. Dec 22, 2022. Investopedia. Crypto Regulation “U.S. Senate Is Still Confused About How to Regulate Crypto After FTX Collapse.” Kyle Barr. Dec 1, 2022. Gizmodo. “Congressmembers Tried to Stop the SEC’s Inquiry Into FTX.” David Dayen. Nov 23, 2022. The American Prospect. “We Already Have Laws to Stop Crypto Fraud.” David Dayen. Nov 17, 2022. The American Prospect. “Why Is Congress Still Writing Crypto Regulations?” David Dayen. Nov 10, 2022. The American Prospect. “Letter to SEC Chair Gary Gensler Regarding Cryptocurrency Inquiries.” Tom Emmer et al. Mar 16, 2022. “Letter to SEC Chair Gary Gensler Regarding Cryptocurrency Inquiries.” emmer.house.gov. Lead-up to FTX Collapse “In about-face, Crypto exchange Binance pulls out of FTX acquisition.” Elizabeth Napolitano. Nov 9, 2022. NBC News. "Crypto exchange FTX saw $6 bln in withdrawals in 72 hours." Tom Wilson and Angus Berwick. Nov 8, 2022. Reuters. “Crypto exchange FTX saw $6 bln in withdrawals in 72 hours.” Tracy Wang and Oliver Knight. Nov 6, 2022. “Binance to Sell Rest of FTX Token Holdings as Alameda CEO Defends Firm's Financial Condition.” Tracy Wang and Oliver Knight. Nov 6, 2022. CoinDesk. “Divisions in Sam Bankman-Fried’s Crypto Empire Blur on His Trading Titan Alameda’s Balance Sheet.” Ian Allison. Nov 2, 2022. CoinDesk. “Re: Potential Violations of Section 18(a)(4) of the Federal Deposit Insurance Act.” Seth. P Rosebrock, Assistant General Counsel, Enforcement, FDIC. Aug 18, 2022. FDIC. Tom Emmer “SEC Chair Gary Gensler Must Testify Before Congress, Says Rep. Tom Emmer.” André Beganski. Dec 11, 2022. Decrypt. “Meet Tom Emmer, a powerful crypto advocate in a crypto-wary Congress.” Tony Romm. Dec 8, 2022. The Washington Post. “House GOP picks Emmer as GOP whip, Scalise as leader.” Emily Brooks and Mychael Schnell. Nov 15, 2022. The Hill. FTX Collapse “FTX Effort to Save Itself Failed on Questionable Assets.” Shane Shifflett, Rob Barry, and Coulter Jones. Dec 5, 2022. The Wall Street Journal. “FTX Founder Sam Bankman-Fried Says He Can’t Account for Billions Sent to Alameda.” Alexander Osipovich. Dec 3, 2022. The Wall Street Journal. “5 major revelations about the collapse of crypto giant FTX.” David Gura. Nov 23, 2022. NPR. “FTX says it owes more than $3 billion to creditors.” Steven Zeitchik. Nov 20, 2022. The Washington Post. “Declaration of John J. Ray III in Support of Chapter 11 Petitions and First Day Pleadings” [Case 22-11068-JTD] Nov 17, 2022. PACER. “Exclusive: At least $1 billion of client funds missing at failed crypto firm FTX.” Angus Berwick. Nov 11, 2022. Reuters. “FTX chief Sam Bankman-Fried resigns as firm files for bankruptcy.” Jacob Bogage and Tory Newmyer. Nov 11,