Key Points
- Former FTX engineering chief Nishad Singh will pay $3.7 million in disgorgement under a CFTC settlement agreement
- Singh faces a five-year commodity trading prohibition and an eight-year registration restriction
- The settlement terms reflect leniency granted for his substantial cooperation with federal authorities
- Singh escaped incarceration earlier, receiving credit for time served plus three years of supervised release
- FTX founder Sam Bankman-Fried, imprisoned for 25 years, recently submitted a motion requesting a new trial
Nishad Singh, who served as FTX’s chief engineering officer, has reached a settlement agreement with the US Commodity Futures Trading Commission requiring him to pay $3.7 million in connection with the cryptocurrency platform’s implosion in November 2022.
The regulatory agency revealed the resolution on April 1, 2026, via what officials termed a supplemental consent decree. The $3.7 million payment represents disgorgement—a return of ill-gotten gains—rather than a punitive monetary sanction.
The settlement also imposes a five-year prohibition on Singh’s participation in commodity trading activities and an eight-year restriction preventing him from securing CFTC registration. This registration restriction effectively bars him from obtaining professional licensing within the industry.
CFTC enforcement division head David Miller indicated that neither additional restitution nor civil penalties would be sought currently. He attributed this measured approach to Singh’s willingness to assist 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.”
Legal representatives for Singh expressed appreciation that the case reached conclusion and acknowledged the CFTC’s recognition of his peripheral involvement in the core misconduct.
Multiple Regulatory Bodies Pursued Singh
The CFTC initially brought charges against Singh in February 2023 on two fronts: fraudulent misappropriation and abetting fraud perpetrated by former FTX CEO Sam Bankman-Fried. Singh signed a consent agreement in April 2023 and pledged full cooperation with ongoing investigations.
The Securities and Exchange Commission pursued parallel proceedings against Singh starting in February 2023, alleging improper use of customer deposits. That matter concluded in December with an eight-year prohibition from the securities industry.
Federal prosecutors brought criminal indictments against Singh along with four other associates on charges encompassing fraud and violations of campaign finance law. Despite facing potential decades behind bars, his cooperation with government prosecutors and testimony against Bankman-Fried resulted in a sentence of time already served plus three years under supervision.
The FTX cryptocurrency exchange imploded in November 2022, erasing billions in value and launching extensive criminal probes into company executives.
Bankman-Fried Pursues Retrial
Separately, FTX’s creator Sam Bankman-Fried, currently incarcerated serving 25 years following conviction on seven fraud and conspiracy charges, has submitted a motion requesting a new trial. Bankman-Fried filed the motion pro se, contending that critical witness statements were excluded from his 2023 proceedings.
The FTX Recovery Trust disclosed earlier this year its intention to disburse $2.2 billion to affected creditors in March 2026.
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