U.S. Securities and Exchange Commission announced that it has filed proposed final consent judgments against three key former executives involved in the FTX collapse: Caroline Ellison (former CEO of Alameda Research), Zixiao “Gary” Wang (former CTO of FTX), and Nishad Singh (former co-lead engineer of FTX). The agreements, submitted to the U.S. District Court for the Southern District of New York and subject to court approval, resolve the SEC’s long-standing civil enforcement actions without the executives admitting or denying the allegations.
The settlements impose permanent injunctions barring the three from violating antifraud provisions of U.S. securities laws, including Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934. Additionally, they include five-year conduct-based injunctions and officer-and-director bars: a 10-year ban for Ellison and eight-year bans for Wang and Singh. No monetary penalties or disgorgement were mentioned in the resolutions.
The SEC’s original complaints, filed between 2022 and 2023, alleged that from 2019 to 2022, the executives enabled the misappropriation of billions in FTX customer funds by granting Alameda special privileges—such as exemption from risk controls and an unlimited line of credit—while misleading investors about platform safety. Wang and Singh reportedly developed the software code facilitating the diversions, and Ellison directed the use of those funds for trading, investments, and executive loans.
These civil resolutions follow the executives’ cooperation in the criminal case against former FTX CEO Sam Bankman-Fried, who is serving a 25-year sentence. Ellison received a two-year prison term (with early release expected in 2026), while Wang and Singh got time served.
This development closes a major chapter in the SEC’s enforcement efforts related to one of the largest crypto frauds in history, reinforcing accountability for misleading investors in digital asset platforms.
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