<p>Crisis-struck cryptocurrency platform FTX has gone bankrupt in the United States and its chief executive Sam Bankman-Fried has resigned, it said Friday.</p>.<p>FTX Group announced in a statement that it filed for Chapter 11 bankruptcy proceedings, adding it has begun an "orderly process to review and monetize assets for the benefit of all global stakeholders."</p>.<p>Chapter 11 is a US mechanism allowing a company to restructure its debts under court supervision while continuing to operate.</p>.<p>It comes at the end of a week in which major cryptocurrencies, including bitcoin, have plunged owing to financial chaos at FTX.</p>.<p>The cash-strapped company added that it has appointed John J. Ray as chief executive to replace Bankman-Fried with immediate effect.</p>.<p>"The immediate relief of Chapter 11 is appropriate to provide the FTX Group the opportunity to assess its situation," said Ray in the statement.</p>.<p>"Stakeholders should understand that events have been fast-moving and the new team is engaged only recently."</p>.<p>Digital currencies were slammed this week after the biggest cryptocurrency platform Binance agreed to buy troubled rival FTX.com on Tuesday -- before scrapping the takeover just one day later.</p>.<p>FTX was plunged into turmoil earlier this month on liquidity fears in a spectacular reversal of fortune for its founder and one-time cryptocurrency wunderkind Bankman-Fried.</p>.<p>Doubts had already been growing about the financial stability of FTX despite his good standing in Washington as a public face of crypto investing.</p>.<p>Media reports suggest that FTX had needed to find about $8.0 billion to plug a massive hole in its finances and escape bankruptcy.</p>.<p>Binance meanwhile axed its FTX takeover deal late on Wednesday and cited recent press reports about mismanagement of client funds -- and investigations by US regulators.</p>
<p>Crisis-struck cryptocurrency platform FTX has gone bankrupt in the United States and its chief executive Sam Bankman-Fried has resigned, it said Friday.</p>.<p>FTX Group announced in a statement that it filed for Chapter 11 bankruptcy proceedings, adding it has begun an "orderly process to review and monetize assets for the benefit of all global stakeholders."</p>.<p>Chapter 11 is a US mechanism allowing a company to restructure its debts under court supervision while continuing to operate.</p>.<p>It comes at the end of a week in which major cryptocurrencies, including bitcoin, have plunged owing to financial chaos at FTX.</p>.<p>The cash-strapped company added that it has appointed John J. Ray as chief executive to replace Bankman-Fried with immediate effect.</p>.<p>"The immediate relief of Chapter 11 is appropriate to provide the FTX Group the opportunity to assess its situation," said Ray in the statement.</p>.<p>"Stakeholders should understand that events have been fast-moving and the new team is engaged only recently."</p>.<p>Digital currencies were slammed this week after the biggest cryptocurrency platform Binance agreed to buy troubled rival FTX.com on Tuesday -- before scrapping the takeover just one day later.</p>.<p>FTX was plunged into turmoil earlier this month on liquidity fears in a spectacular reversal of fortune for its founder and one-time cryptocurrency wunderkind Bankman-Fried.</p>.<p>Doubts had already been growing about the financial stability of FTX despite his good standing in Washington as a public face of crypto investing.</p>.<p>Media reports suggest that FTX had needed to find about $8.0 billion to plug a massive hole in its finances and escape bankruptcy.</p>.<p>Binance meanwhile axed its FTX takeover deal late on Wednesday and cited recent press reports about mismanagement of client funds -- and investigations by US regulators.</p>