FTX Debtors: $5.5 billion have been identified; total liabilities between $10 billion and $13 billion
FTX debtors said that $5.5 billion of liquid assets have been identified, comprised of $1.7 billion of cash, $3.5 billion of crypto assets, and $0.3 billion of securities. FTX’s total liabilities are between $10 billion and $13 billion. Since declaring bankruptcy on November 11, FTX.com has lost around $415 million in cryptocurrency to hacks, as reported to creditors on Tuesday.
FTX says $415 mln in crypto hacked since bankruptcy filing
According to the company’s filing to creditors, an “unauthorized third party” misappropriated about $323 million from FTX’s international exchange and $90 million from FTX US. The brokerage division of the exchange situated in the Bahamas, Alameda Research, had another $2 million stolen from it.
The stolen sum is a portion of the $5.5 billion in liquid assets FTX has designated for recovery. These assets include US$1.7 billion in cash, $3.5 billion in cryptocurrencies, FTX Token (FTT), and $300 million in liquid securities.
The exchange was hacked and lost more than $372 million, according to the new FTX CEO John Ray, who announced it a few days after FTX declared bankruptcy in November. On November 11, FTX filed for Chapter 11 bankruptcy in the United States, shocking the industry after discovering that there had been inadequate transparency on liquidity and that customer funds had been improperly used.
Sam Bankman-Fried, the founder and former CEO of FTX, has been charged with eight offenses, including conspiracy to commit money laundering and wire fraud. Earlier this month, Bankman-Fried entered a not-guilty plea to the accusation of fraud.
TX advisors are considering demanding the $2.1 billion in BUSD, and FTT Binance earned when it sold its FTX share in the third quarter of 2021. Changpeng Zhao, the CEO of Binance, has asserted that the business will continue to be stable even after a $2.1 billion repayment.
According to its bankruptcy declaration in November, the bankrupt exchange owes its 50 largest creditors nearly $3.1 billion. Additionally, FTX disclosed that the company has over 100,000 debtors.
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