The <a href="https://www.cryptoknowmics.com/news/investigation-into-us-tether-bank-fraud-transferred-to-doj">Department of Justice (DoJ)</a> and the <a href="https://www.cryptoknowmics.com/news/blockfi-reintroduces-high-yield-product-due-to-sec-exemption">Securities and Exchange Commission (SEC)</a> are collaborating on an investigation into the business run by FTX in the U.S., according to a <a href="https://www.wsj.com/articles/sec-investigates-crypto-platform-ftx-11668020379" target="_blank" rel="nofollow noopener">story</a> in The Wall Street Journal that cited an anonymous individual with knowledge of the situation.
<h2>SEC in Communication With DoJ in the FTX Case</h2>
<a href="https://www.cryptoknowmics.com/news/ftt-technical-analysis-ftx-token-recovers-after-massive-fallout">FTX</a> has attracted the attention of several regulators as it now potentially faces insolvency. According to the publication, the SEC is in regular communication with the DoJ as its months-long investigation to determine whether the assets on FTX.us may be regarded as securities continue to grow. It would be possible for FTX to have broken American exchange regulations if the SEC finds the disputed assets to be securities.

Additionally, regulators are focusing on FTX.us' links to trading business <a href="https://www.cryptoknowmics.com/news/alameda-research-to-repay-two-large-loans-denominated-in-bitcoin-and-ether">Alameda Research</a> and the connection between it and its Caribbean parent company.
<h2>Failure of Cryptocurrency</h2>
Even before FTX's difficulties this week, there was mounting pressure on American authorities to get <a href="https://www.cryptoknowmics.com/news/cftc-strikes-order-against-fraudulent-cryptocurrency-arbitrage-company">cryptocurrency</a> companies to abide by investor protection regulations. Over the past year, the market valuation of cryptocurrencies has decreased by over $2 trillion due to the failure of several token producers, lending platforms, and financial assets.

Department of Justice (DoJ) Supports SEC in FTX Investigation: WSJ

The Department of Justice (DoJ) and the Securities and Exchange Commission (SEC) are collaborating on an investigation into FTX business In the U.S.

Gungun is an enthusiastic writer that likes to create content for various aspects of the blockchain and crypto industry. She carries out extensive research and provides readers with informative and high-quality material.

Department of Justice (DoJ) Supports SEC in FTX Investigation: WSJ

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