CFTC settles civil fraud case against Ellison, Wang with trading bans

The U.S. Commodity Futures Trading Commission has concluded its civil enforcement action against Caroline Ellison, former CEO of Alameda Research, and Gary Wang, a cofounder of FTX, after both accepted consent orders admitting liability for fraud. The settlement, announced on August 19, 2026, imposes significant trading and registration bans on the two former crypto executives, marking a major step in the regulatory aftermath of FTX's collapse.

Under the terms of the orders entered by the U.S. District Court for the Southern District of New York, Ellison faces a five-year trading ban and a ten-year prohibition from registering with the CFTC. Wang received the same five-year trading ban and an eight-year registration bar. The sanctions run from December 2022, when the court initially found them liable, meaning Ellison could be eligible to trade again in late 2027 and Wang in late 2027, with his registration ban ending in 2030 and hers in 2032. The CFTC stated it was not seeking additional restitution, disgorgement, or civil monetary penalties from the pair at this time, citing their extensive cooperation and an existing joint and several liability for a criminal forfeiture order...