TLDR
- Nishad Singh, former FTX head of engineering, agreed to pay $3.7 million in disgorgement to settle CFTC charges
- He received a five-year trading ban and an eight-year registration ban
- Regulators reduced penalties due to his cooperation with investigators
- Singh previously avoided prison, receiving time served and three years of supervised release
- Sam Bankman-Fried, currently serving 25 years, has filed a motion seeking a new trial
Former FTX head of engineering Nishad Singh has agreed to pay $3.7 million to settle charges brought by the US Commodity Futures Trading Commission related to FTX’s collapse in November 2022.
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
The CFTC announced the settlement on April 1, 2026, through what it called a supplemental consent order. Singh will pay the $3.7 million as disgorgement, meaning he is returning funds tied to the violations rather than paying an additional fine.
Singh was also handed a five-year ban on trading in commodity markets and an eight-year ban on registering with the CFTC. The registration ban blocks him from obtaining a license to operate in the sector.
CFTC enforcement director David Miller said no additional restitution or civil monetary penalties were imposed at this time. He said the outcome reflects Singh’s cooperation with investigators.
“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.”
Attorneys for Singh said he was grateful the matter was resolved and that the CFTC recognized his limited role in the underlying conduct.
Singh Faced Charges From Multiple Agencies
The CFTC first charged Singh in February 2023 with two counts: fraud by misappropriation and aiding and abetting fraud committed by former FTX CEO Sam Bankman-Fried. He entered a consent order in April 2023 and agreed to cooperate with investigators.
The Securities and Exchange Commission filed a separate case against Singh in February 2023, accusing him of misusing customer funds. That case was settled in December, resulting in an eight-year industry ban.
US prosecutors also indicted Singh alongside four colleagues on charges including fraud and campaign finance violations. He faced decades in prison but cooperated with authorities and testified against Bankman-Fried. He ultimately received time served and three years of supervised release.
FTX collapsed in November 2022, wiping out billions in market value and triggering criminal investigations into its leadership.
Bankman-Fried Seeks New Trial
Meanwhile, FTX founder Sam Bankman-Fried, who is currently serving a 25-year prison sentence on seven counts of fraud and conspiracy, has filed a motion seeking a new trial. He filed the motion himself and argues that key witness testimony was absent from his 2023 trial.
The FTX Recovery Trust announced earlier this year that it would distribute $2.2 billion to creditors in March 2026.
