The U.S. Commodity Futures Trading Commission (CFTC) finalized consent orders on Tuesday against former Alameda Research CEO Caroline Ellison and FTX co-founder Zixiao “Gary” Wang, resolving civil enforcement actions linked to the collapse of FTX Trading Ltd.
Under the orders filed in the Southern District of New York, both executives received a five-year trading prohibition from participating in any CFTC-regulated markets. Ellison was additionally barred from registration with the commission for 10 years, while Wang faces an eight-year registration ban. The CFTC noted that both individuals provided material assistance in its ongoing FTX-related investigations, despite their roles in fraudulent activities at the companies.
The settlements conclude enforcement actions initiated in December 2022, when the CFTC named Ellison, Wang, and former FTX CEO Sam Bankman-Fried as defendants in a complaint alleging misuse of customer funds. FTX and Alameda were separately ordered in August 2024 to pay $12.7 billion in disgorgement and restitution to affected users.
Ellison, Wang, and former FTX engineering director Nishad Singh were indicted on criminal fraud charges and later testified against Bankman-Fried during his trial. Bankman-Fried was convicted and sentenced to 25 years in prison, while Ellison received a two-year sentence and was released early in January. Singh and Wang were each credited with time served.
The CFTC also noted a separate $3.7 million fine imposed on Singh in a related lawsuit, reflecting the regulator’s continued enforcement against former FTX executives involved in the fraud scheme.
