Key Highlights
- Former FTX engineering chief Nishad Singh has settled with the CFTC for $3.7 million in disgorgement payments
- Singh faces a five-year commodity trading prohibition and an eight-year CFTC registration restriction
- Authorities reduced sanctions in recognition of his substantial assistance during the investigation
- Singh escaped incarceration, instead receiving credit for time served plus three years under supervision
- FTX founder Sam Bankman-Fried, serving 25 years in prison, has submitted a request for a retrial
Nishad Singh, who served as FTX’s top engineering executive, has reached a settlement agreement with the US Commodity Futures Trading Commission requiring him to pay $3.7 million related to the cryptocurrency platform’s dramatic implosion in November 2022.
On April 1, 2026, the CFTC made the settlement public via a supplemental consent order. The $3.7 million payment represents disgorgement, which means Singh is returning money connected to regulatory violations instead of paying a separate penalty.
The settlement also imposes a five-year prohibition on Singh’s participation in commodity trading activities and an eight-year bar from registering with the regulatory agency. This registration restriction prevents him from securing professional licensing within the commodities sector.
CFTC enforcement chief David Miller stated that no further restitution payments or civil fines would be assessed currently. He emphasized that the decision factors in Singh’s willingness to assist authorities.
“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 for the case’s conclusion and noted the CFTC’s acknowledgment of his minimal involvement in the core misconduct.
Multiple Regulatory Actions Targeted Singh
The CFTC initially brought charges against Singh in February 2023 on two allegations: fraudulent misappropriation and assisting former FTX CEO Sam Bankman-Fried in committing fraud. He signed a consent order by April 2023 and committed to working with regulatory officials.
The Securities and Exchange Commission launched its own enforcement action against Singh in February 2023, alleging he participated in the misuse of client assets. That matter concluded in December with an eight-year ban from the securities industry.
Federal prosecutors also brought criminal indictments against Singh along with four other associates on various charges including fraud and illegal campaign contributions. Despite facing potential decades behind bars, Singh collaborated with law enforcement and provided testimony against Bankman-Fried. His sentence ultimately consisted of time already served and three years of monitored release.
The FTX cryptocurrency exchange failed spectacularly in November 2022, erasing billions of dollars in valuation and sparking extensive criminal probes into company executives.
Bankman-Fried Pursues Retrial
Separately, FTX’s founder Sam Bankman-Fried, who is presently incarcerated while serving a 25-year sentence following convictions on seven fraud and conspiracy charges, has submitted a motion requesting a new trial. He personally filed the motion, contending that critical witness statements were excluded from his 2023 proceedings.
The FTX Recovery Trust revealed earlier this year that it planned to distribute $2.2 billion to affected creditors in March 2026.
