Key facts
- The CFTC has imposed a five-year trading ban on former Alameda CEO Caroline Ellison and FTX co-founder Zixiao “Gary” Wang.
- Ellison received an additional 10-year registration ban, and Wang an eight-year registration ban.
- The sanctions are a result of their cooperation with the CFTC's investigations into FTX and Alameda.
- FTX and Alameda agreed to pay $12.7 billion in disgorgement and restitution in August 2024.
- Ellison and Wang were previously defendants in the CFTC's December 2022 complaint alongside Sam Bankman-Fried.
The U.S. Commodity Futures Trading Commission (CFTC) has finalized consent orders against former Alameda Research CEO Caroline Ellison and FTX co-founder Zixiao “Gary” Wang, imposing significant trading and registration bans. These orders, filed in the U.S. District Court for the Southern District of New York, include a five-year ban from trading commodity interests for both executives. Ellison also faces a 10-year ban from registering with the CFTC, while Wang is subject to an eight-year registration ban.
CFTC's enforcement director, David Miller, stated that the sanctions reflect the executives' material assistance in the Commission's investigations into FTX-related activities. Ellison and Wang were named as defendants in the CFTC's initial complaint in December 2022, alongside former FTX CEO Sam Bankman-Fried. The agency previously secured $12.7 billion in disgorgement and restitution payments from FTX and Alameda in August 2024.
Ellison, Wang, and former FTX engineering director Nishad Singh, who also testified against Bankman-Fried, were instrumental in the prosecution related to the misuse of customer funds. Bankman-Fried was found guilty and sentenced to 25 years, while Ellison received a two-year sentence and was released early in January. Wang and Singh received time served.