FTX's ex-engineering chief Nishad Singh settles with CFTC for $3.7M
The Commodity Futures Trading Commission (CFTC) has finalised its first individual settlement in the FTX enforcement case. Nishad Singh, the exchange's former engineering head, will pay $3.7 million in disgorgement for his role in the collapse. The ruling also imposes strict trading and registration bans on him for years to come.
Singh served as FTX's head of engineering and admitted to maintaining code that let Alameda Research withdraw billions in customer funds without proper disclosure. His actions contributed to significant violations of CFTC regulations. Despite his involvement, the agency waived further restitution and civil penalties due to his cooperation.
The consent order requires Singh to disgorge $3.7 million, covering real estate bought with misappropriated FTX customer assets. He also faces an eight-year ban from registering with the CFTC and a five-year trading prohibition. Singh previously testified against FTX founder Sam Bankman-Fried in October 2024, avoiding prison time as a result. This settlement marks the first fully resolved individual case in the CFTC's broader FTX investigation. So far, the agency has taken action against three other entities: Alameda Research (settled in 2023 for $150 million), Bankman-Fried (facing civil charges linked to FTX's 2022 collapse), and FTX Trading Ltd. itself. Singh's case is part of a joint and several liability tied to an $11.02 billion criminal forfeiture order. His cooperation played a key role in the ongoing legal proceedings against others involved in the scandal.
The CFTC's ruling against Singh includes financial penalties, long-term bans, and a formal acknowledgment of his misconduct. His disgorgement payment and testimony provide further clarity in the agency's multi-year investigation. The case sets a precedent as the first individual resolution in the FTX enforcement action.
