Key Points
- Former FTX engineering chief Nishad Singh settles with CFTC by paying $3.7 million in disgorgement
- Settlement includes five-year commodity trading prohibition and eight-year registration restriction
- Cooperation with federal investigators led to reduced penalties from regulators
- Singh received time served plus three years supervised release in criminal proceedings
- FTX founder Sam Bankman-Fried files motion requesting new trial while serving 25-year sentence
Nishad Singh, who served as head of engineering at FTX, has reached a settlement with the US Commodity Futures Trading Commission requiring a $3.7 million payment to resolve allegations stemming from the cryptocurrency exchange’s November 2022 failure.
Ex-FTX engineering chief Nishad Singh will have to return $3.7 million in illegal profits under a settlement with the US derivatives regulator over his role at the collapsed cryptocurrency exchange https://t.co/NWWZ06eXU4
— Bloomberg (@business) April 1, 2026
On April 1, 2026, the CFTC disclosed the resolution through a supplemental consent order. The $3.7 million payment represents disgorgement, requiring Singh to surrender proceeds connected to regulatory violations.
The settlement imposes a five-year prohibition on commodity market trading activities and an eight-year restriction preventing CFTC registration. This registration restriction prevents Singh from obtaining necessary licenses for industry participation.
CFTC enforcement director David Miller confirmed that additional restitution payments and civil monetary penalties were not applied in this resolution. He attributed the outcome to Singh’s substantial assistance during the investigation.
“The defendant engaged in, and aided, violations of the Act and CFTC regulations as the former FTX head of engineering,” Miller said. “But this resolution also reflects the Commission’s commitment to rewarding and incentivizing material assistance in Division investigations.”
Legal representatives for Singh expressed appreciation that the case reached resolution and acknowledged the CFTC’s recognition of his constrained involvement in the misconduct.
Multiple Agencies Pursued Singh on Various Charges
In February 2023, the CFTC initially brought two charges against Singh: fraud through misappropriation and assisting fraud perpetrated by former FTX CEO Sam Bankman-Fried. He submitted a consent order in April 2023 while pledging investigative cooperation.
The Securities and Exchange Commission pursued a parallel case against Singh beginning in February 2023, alleging improper use of customer deposits. This matter concluded in December with an eight-year prohibition from the securities industry.
Federal prosecutors brought criminal charges against Singh along with four other associates, encompassing fraud and violations related to campaign finance laws. Despite facing potential decades of incarceration, his cooperation with government officials and courtroom testimony against Bankman-Fried resulted in a sentence of time served followed by three years of supervised release.
The November 2022 collapse of FTX eliminated billions in market capitalization while prompting criminal probes of company executives.
Bankman-Fried Pursues New Trial Request
FTX founder Sam Bankman-Fried, currently incarcerated while serving a 25-year sentence following convictions on seven fraud and conspiracy counts, has submitted a motion requesting a new trial. The self-filed motion contends that critical witness testimony remained excluded from his 2023 trial proceedings.
Earlier this year, the FTX Recovery Trust revealed plans to deliver $2.2 billion to creditors during March 2026.
