Experts doubt the possibility of resuming the work of FTX

After FTX reported their financial insufficiency and filed for bankruptcy, a lot of interesting things came to light regarding the top management of the platform. They are not unreasonably accused of using client funds for other purposes.

In this regard, the credibility of FTX has been significantly undermined, but surprisingly there are people who expect that the American company will be able to resume its activities in full.

There is already a lot of discussion on the Internet about the future of FTX. Significant experts from the world of cryptography also spoke about the possible fate of the American cryptocurrency exchange.

For example, Aaron Lane, who holds the position of senior lecturer, shared that he was not surprised by the decision of the management to resume the work of FTX. According to Lane, this makes some sense, but he has a clear skepticism towards the success of such an event, since customers have clearly lost confidence in the site.

Liam Hennessy, a digital asset lawyer with Australian firm Gadens, also expressed his opinion. According to Liam, FTX may try to return to the market, but it will be very difficult for them to do this.

Hennessy, of course, cited the loss of trust from customers and the massive reputational damage that the company has suffered in the months since October as the main challenges they will face. In addition, the lawyer was very doubtful that the American cryptocurrency exchange would be able to get a license to provide cryptocurrency services to clients again.

According to the lawyer, FTX may be successful in some jurisdictions, but it will not be possible to work in the most advanced countries such as the USA or the UK and Australia. The reason is obvious - the loss of confidence on the part of both customers and regulators. For this reason, if the American crypto exchange can somehow return to the game, then in this case it will not be very profitable, since customers are unlikely to want to return to the FTX exchange from other platforms.

Cointelegraph asked for the opinion of Binance Australia CEO Lee Travers regarding the current situation. The latter, like Liam Hennessy, considers it unlikely that FTX will fully return to the cryptocurrency market due to the small chances of the exchange to obtain the necessary license to provide services related to digital assets.

The Sam Bankman-Fried exchange has become the reason why regulators from all over the world have sharpened their attention to the regulatory process in relation to cryptocurrencies. Because of this, FTX will not be able to obtain the required license and will now be always under the gun of the regulators.

The CEO of Binance Australia also noted the fact that after the collapse of FTX, many clients continued their investment and trading activities on other sites such as Binance. Due to the fact that they are unlikely to feel safe on the American platform, users are unlikely to return to the place where they have already lost all their money.

He also could not fail to note the moment with the disclosure of fraudulent schemes by the top management of FTX. According to Lee Travers, no client would want to return to a place where they were deceived and treated badly, and also used their personal financial resources to satisfy their desires.