Former regulators are hired by FTX to look into the collapse of the company.

A suitable team made up of former senior U.S. regulators has been hired by FTX, a cryptocurrency exchange whose recent bankruptcy sparked questions about the existence or absence of regulatory monitoring.

The failed cryptocurrency exchange FTX has hired former regulators from the United States Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission, according to a lawyer representing FTX in its first appearance in Delaware bankruptcy court on Tuesday (CFTC).

According to the Wall Street Journal, the panel includes representatives from the investigation firm Nardello & Co., the blockchain data platform Chainalysis, a cybersecurity firm, and Sullivan & Cromwell LLP partners.

According to the statistics, Chainalysis is capable of managing digital assets and may help with other tasks, while Nardello & Co. focuses on anti-corruption and fraud investigations.

The firm has reportedly hired James McDonald, who formerly served as the director of enforcement at the CFTC during the same time period, as well as Steven Peikin, who previously served as the co-director of the enforcement division at the SEC from 2017 to 2020.

Another lawyer that FTX hired to work for the company was Nicole Friedlander, who is currently an attorney with Sullivan & Cromwell and previously served as the United States Attorney’s Office for the Southern District of New York’s chief of sophisticated frauds and cybercrime.

Tuesday (November 22), during his testimony in court on behalf of the new managers of FTX, James Bromley, a partner at Sullivan & Cromwell, stated the following:

We don’t usually quote things that are said on Twitter, but there was one that, in my opinion, captures the situation rather well: “What appears to be taking place is a serious investigation by serious grownups.”