FTX, under new CEO John J. Ray III, has released its first report identifying failures and mistakes of its former management under Sam Bankman-Fried that led to the collapse of the crypto exchange and its subsidiaries. The report highlights blunders in critical areas, including management and governance, finance and accounting, digital asset management, information security, and cybersecurity.

The findings were prepared through a review by a team of legal, restructuring, forensic accounting, cybersecurity, computer engineering, cryptography, blockchain, and other experts.

FTX's former management, including Bankman-Fried, showed little interest in implementing control frameworks and managing customer crypto assets. The new team has recovered and secured over $1.4 billion in digital assets in cold wallets and identified an additional $1.7 billion in digital assets that they are in the process of recovering.