The Commodity Futures Trading Commission has finalized multiyear trading and registration restrictions against Caroline Ellison and Gary Wang, closing its civil cases against two of the most prominent cooperating witnesses in the FTX investigation.
The CFTC announced on August 19 that supplemental consent orders had been entered by a federal court in New York. Ellison, the former CEO of Alameda Research, received a five-year trading ban, while both former executives remain subject to other regulatory restrictions stemming from their roles at FTX and Alameda.
CFTC Enforcement Director David I. Miller said the sanctions reflected both the executives' involvement in the fraud and the substantial assistance they provided investigators.
The regulator is not seeking restitution, disgorgement or civil monetary penalties from Ellison or Wang at this time, although both must continue cooperating with the CFTC.
Ellison and Wang Were Found Liable for Fraud
The CFTC originally charged Ellison and Wang in December 2022, shortly after FTX collapsed into bankruptcy.
The regulator accused senior executives at FTX and Alameda Research of misappropriating customer assets. Initial consent orders entered on December 23 found Ellison liable for two fraud counts, while Wang was held liable for one fraud count.
The SEC separately accused the executives of participating in arrangements that provided Alameda with preferential treatment on FTX, including access to extensive credit and exemptions from controls applied to ordinary customers.
Ellison was also accused of making misleading statements and helping support the value of FTX's FTT token while customer assets were transferred to Alameda.
Both executives eventually became critical cooperating witnesses for U.S. authorities.
Cooperation Shaped Their Punishments
Ellison and Wang entered federal guilty pleas on December 19, 2022. Ellison pleaded guilty to seven charges, while Wang admitted to four counts involving fraud and conspiracy.
Both also admitted to conspiracy to commit commodities fraud and agreed to cooperate with prosecutors.
Ellison later became one of the government's most important witnesses during the criminal trial of FTX founder Sam Bankman-Fried, providing detailed testimony about how customer funds were transferred from FTX to Alameda.
She ultimately received a two-year prison sentence. After serving 11 months at a federal prison in Connecticut, Ellison was transferred to community confinement in October 2025.
Wang avoided an additional prison sentence after prosecutors highlighted his cooperation and comparatively limited role. He acknowledged writing code that gave Alameda preferential access to funds held on FTX.
FTX Collapse Continues to Carry Regulatory Consequences
FTX filed for bankruptcy in November 2022 after a wave of withdrawals exposed the exchange's inability to return customer deposits.
Prosecutors established that billions of dollars in FTX customer funds were diverted to Alameda Research, where the money was used for investments, loan repayments, political contributions and other expenditures.
Bankman-Fried was eventually convicted on seven fraud and conspiracy charges and sentenced to 25 years in prison. His conviction was upheld by a federal appeals court in June.
The CFTC has continued pursuing other former executives. Former FTX engineering chief Nishad Singh previously agreed to $3.7 million in disgorgement, alongside a five-year trading ban and eight-year registration ban.
No Additional Financial Penalties for Ellison and Wang
Unlike Singh's settlement, the latest supplemental orders do not currently require Ellison or Wang to pay restitution, disgorgement or civil monetary penalties.
The CFTC cited their extensive cooperation as a significant factor in determining the sanctions. However, existing permanent injunctions prohibiting future violations remain in effect, and both must continue assisting the regulator.
The agency also referenced an $11.02 billion criminal forfeiture order for which Ellison and Wang were jointly and severally liable.
Nearly four years after FTX's collapse, the latest orders demonstrate how the scandal continues to produce criminal and regulatory consequences for the exchange's former leadership, even for executives whose cooperation substantially reduced their eventual punishment.
