Bahamian Crypto Exchange Collapse Affecting Local Resident Lives

FTX officials are working to restructure the firm and return users’ funds.
Investors and Users are seeking help to retrieve the lost funds in the FTX crash.

Recently the world’s third-biggest cryptocurrency exchange collapsed in the second week of November; the exchange is headquartered in the Bahamas.

According to some reliable reports, the population of the Bahamas is around 400,000(Year 2021); it is quite popular for its tourism and vacation spots.

Some recent reports state that currently, there are approximately 700 islands in the Bahamas that are globally known for their eco-friendly environment and vacation spots.

Tourism in the Bahamas alone contributes 60-75 percent of revenue to improve Bahama’s GDP(Gross Domestic Product).

FTX collapse has troubled users and investors globally; billions are still waiting to get their lost funds.

One of the biggest collapses within the crypto industry with FTX bankruptcy filing came as an astonishing instance for most people. Shedding of a crypto company sitting upon a huge pile of money within several days.

Many analysts believe that the Bahamas economy might get affected after its globally popular privately headed crypto exchange crashed and filed for bankruptcy on November 11.

The total surface area of Bahamas is around 13,878 square km, and at the peak time of FTX’s establishment the company employed thousands of local residents and has provided them employment and reports also states that FTX was spending $100k for food and has also facilitated transportation services for their workers.

The foreign employees working at FTX Bahamian headquarters have left the office vacant, and now Bahamian security guards are guarding the “almost vacant buildings.”

Hacker News user Matkoniecz noted, “Given that Bahamas help rich people and companies to evade taxes, my sympathy to negative consequences of that is limited.”

In context with crypto regulation in the Bahamas, Exendroinient00 commented, “Nothing wrong with inviting every scammer to do scamming on your islands.”

On November 13, 2022, Reuters reported that the Royal Bahamas police are investigating whether criminal misconduct occurred” after the FTX collapse.

TheCoinRepublic reported on November 23, 2022, that two sports celebrities, Tom Brady and Steph Curry and the other major endorsers of the now-bankrupt FTX, are under investigation. The director of enforcement for the Texas State Securities Board recently announced that state regulators are investigating multiple celebrity endorsers who ever endorsed the FTX trading platform.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing