ADVFN News | UK Treasury Committee to Investigate Finance’s Role in FTX Collapse

UK lawmakers have asked Binance to produce internal documents and discussions related to its attempted purchase of FTX and the sale of bankrupt exchange token FDT. Information For Bloomberg News on November 15.

According to this report, the UK Parliament’s Treasury Committee questioned why Binance disclosed that it was selling $500 million worth of FTT tokens in November cryptoassets.

Daniel Trinder, Binance’s vice president of government affairs in Europe, appeared before the panel as a witness and said that Binance had no intention of instigating a breach and made these decisions to protect its users. He also said that the documents seeking transfer will be submitted as evidence on November 15.

However, Trinder said the exchange may choose to redact some information from the requested documents due to ongoing investigations into FTX in the US.

Treasury committee chair Harriet Baldwin said Finance needed to explain the rationale behind withholding certain information. He said the exchange had to admit it was a player in the “sequence of events” that led to FTX’s demise.

Trinder said Finanz’s moves are an effort to protect its users.

Binance revealed its intentions to “fully acquire” FTX on November 8, but pulled out of the deal on November 9, citing improper customer funds and the regulatory scrutiny the exchange faced.

Following these events, FTX, along with 130 affiliated companies, filed for Chapter 11 bankruptcy on November 11 and founder Sam Bankman-Fried resigned as CEO.

With information from CryptoSlate