According to the FDIC, FTX's money is not insured.

According to the FDIC, FTX's money is not insured.

The FDIC issued FTX, owned by Sam Bankman-Fried, a cease-and-desist order for "false and deceptive assertions"

The Federal Deposit Insurance Corporation (FDIC) doesn't cover stocks or crypto, only insured bank accounts.

FTX president Brett Harrison says employer contributions are kept in FDIC-insured accounts.

The tweet indicates stocks are in FDIC- and SIPC-insured brokerage accounts.

The FDIC argues this incorrectly implies that FTX and user funds are FDIC-insured.

Harrison says brokerage cash is maintained at FTX's "partner bank" in FDIC-insured accounts.

Harrison said FTX "didn't mean to mislead anyone" and didn't claim crypto/non-fiat assets are FDIC-insured.

FTX CEO and founder Bankman-Fried added that "FTX does not have FDIC insurance," but its partner banks do.

Bankman-Fried may "study methods individual direct deposit accounts could be used to protect customers"

The Federal Deposit Insurance Act (FDI Act) bans using "FDIC" to indicate FDIC-insured products.

FDIC gives FTX 15 days to delete or amend any misrepresentations.

In addition to FTX, the FDIC warned Cryptonews.com, Cryptosec.info, SmartAsset.com, and FDICCrypto.com to stop.

FTX and Bankman-Alameda Fried's Research, a cryptocurrency trading firm, have survived.

Bankman-Fried has funded failed crypto companies. Reuters stated he has "a few billion" more.

CNBC filings show FTX made $1.02 billion in 2021 and $270 million in Q1 2022.