FTX Misused Billions in Customer Funds, Forensic Audit Reveals

Forensic accountant found that $9 billion of FTX customer funds were misused, invested in other businesses, real estate, political contributions, and donated to charity.

Customer funds peaked at $11.3 billion in June 2022, but FTX bank accounts only held $2.3 billion. Funds lost backing as early as March 2021.

FTX customer funds invested in SkyBridge Capital, Modulo Capital, Genesis Digital Assets, and crypto mining.

FTX funded $133 million in political donations, including $10 million gift to SBF's father.

FTX Head of Engineering felt "betrayed" by SBF, but stayed on hoping to avoid collapse. Had questions about finances in final months.