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When they learnt withdrawals from the exchange were halted, many employees realised their personal savings were trapped too. “No one had rushed to take out During a court recess some participants spoke about how they had lost money in the FTX collapse, with one saying they lost their life savings. The next hearing is A few hours back, a source “close to the FTX situation” allegedly revealed that the company’s employees were all kept in the dark about the whole situation and only The dramatic collapse of the cryptocurrency exchange FTX sent shockwaves around the world last week, especially after it emerged that company managers Autism Capital released a statement in the early hours of this morning that was said to be issued by two internal FTX employees. In addition to stating that most of FTX employees had Some small-time investors in FTX say they lost their entire life savings in the 2025 collapse. NurPhoto/Getty Images. Prosecutors asked a judge in a sentencing memo to Employees’ use of FTX as a bank was encouraged by Bankman-Fried and other higher-ups, according to former employees speaking to CoinDesk on the condition of In screenshots of the letter shared by Semafor reporter Liz Hoffman, SBF wrote in his company’s Slack that he felt “deeply sorry” for what happened and regrets what he

FTX Employees Allegedly Lose Life Savings: A Deep Dive into the Collapse

The dramatic collapse of the cryptocurrency exchange FTX sent shockwaves around the world. Beyond external investors, a particularly heartbreaking aspect of the situation is the alleged loss of life savings by FTX employees themselves. Multiple sources suggest many employees are facing financial ruin due to the exchange\'s failure.

"No One Had Rushed to Take Out..." The Shock of Frozen Funds

Reports indicate a stark reality for FTX employees. When they learnt withdrawals from the exchange were halted, many employees realised their personal savings were trapped too. The sudden freeze left them reeling. During a court recess some participants spoke about how they had lost money in the FTX collapse, with one saying they lost their life savings. The next hearing is a key date for many affected.

Kept in the Dark: Employees\' Perspective on the FTX Situation

A few hours back, a source “close to the FTX situation” allegedly revealed that the company’s employees were all kept in the dark about the whole situation and only learned about the issues as they unfolded publicly. This lack of transparency has added insult to injury for those who trusted the company with their financial futures. Autism Capital released a statement in the early hours of this morning that was said to be issued by two internal FTX employees. In addition to stating that most of FTX employees had lost their savings, the statement underscored a feeling of betrayal.

SBF\'s Apology: Too Little, Too Late?

In screenshots of the letter shared by Semafor reporter Liz Hoffman, SBF wrote in his company’s Slack that he felt “deeply sorry” for what happened and regrets what he did. However, for many employees who have allegedly lost their life savings, an apology is unlikely to provide much comfort.

Encouraged to Use FTX as a Bank

The situation is further complicated by reports suggesting that Employees’ use of FTX as a bank was encouraged by Bankman-Fried and other higher-ups, according to former employees speaking to CoinDesk on the condition of anonymity. This encouragement, coupled with a lack of clear understanding of the risks involved, may have led employees to invest a significant portion of their savings in the platform.

The Wider Impact: Small-Time Investors Devastated

The alleged loss of employee savings mirrors the experiences of numerous small-time investors affected by the FTX collapse. Some small-time investors in FTX say they lost their entire life savings in the 2025 collapse. NurPhoto/Getty Images provides visual representation of the impact of this scandal. Prosecutors asked a judge in a sentencing memo for leniency; however, for many who have allegedly lost everything, the damage is already done.

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