FTX discovers Liquide funds of $ 5.5 billion - debtors explore opportunities to maximize relaxation through the possible sale of subsidiaries and real estate -
FTX discovers Liquide funds of $ 5.5 billion - debtors explore opportunities to maximize relaxation through the possible sale of subsidiaries and real estate -
on January 17, 2023, FTX Trading Ltd. And connected debtors and stated in detail that the company's current administrators have so far discovered $ 5.5 billion in liquid funds. High-ranking managers, including the new FTX CEO and Chief Restructuring Officer, John J. Ray III, met with the committee of the unsecured creditors of the bankruptcy proceedings to exchange the news.
ftx releases $ 5.5 billion of liquid funds through "Herculean investigation efforts" to
According to a press release published on Tuesday at 2:40 p.m. Eastern Time, FTX Liquide has discovered funds of $ 5.5 billion. The debtors, including FTX CEO John J. Ray III, announced that the team had identified the funds through a "Herculular investigation effort". The company's press release states that the team has found $ 3.5 billion in cryptocurrency plants, $ 1.7 billion in cash deposits and about $ 3 million in securities.
In the press release, it continues that the FTX team discovered that $ 323 million had been lost by non-authorized transfers of third parties before the bankruptcy request according to Chapter 11 was registered on November 11, 2022. In addition, $ 426 million were "under the control of the Securities Commission of the Bahamas", the information from the debtor.
FTX debtor openly stem that crypto assets that are currently held by FTX managers and the restructuring teams are also kept in cold stores. "We make important progress in our efforts to maximize the recovery, and it cost our team's Herculular examination performance to uncover this preliminary information," said Ray in the update. "We ask our stakeholders for understanding that this information is still temporary and can change. We will provide further information as soon as we are able to do so."
FTX debtors examine historical transactions, including voyager and blockfi deals, and $ 93 million in political donations
The presentation shared with the committee of the unsecured creditors is also attached to the FTX press release and notes that an investigation "confirmed deficits in both international and US exchanges". In addition, the investigation "uncovered the mechanism that is behind it, how Alameda Research was able to lend practically unlimited amounts from customers without collateral". The debtor report insists that a "small group of individuals" had the opportunity to remove FTX assets without ever being "recorded in the stock market book".
In addition to the reclaimed $ 5.5 billion, FTX debtors examine several facets to maximize the recovery process through the “potential sale” of four subsidiaries. The team is looking for opportunities to monetize the hundreds of investments made, which currently have a book value of around "$ 4.6 billion".
ftx debtor want to maximize the recovery by “marketing real estate on the Bahamas”, and the investigators want to examine “all historical transactions” in connection with business.
The real estate of the inner circle has a value of around $ 205.5 million and are distributed over 27 different properties on the Bahamas. The examined historical transactions include the Voyager and Blockfi deals as well as political donations worth $ 93 million that FTX managers made between March 2020 and November 2022.
"Hundreds of [Mergers and Acquisitions] M&A and other tested transactions," explains the presentation. The presentation also offers a detailed visual card, such as the inner circle, mainly Alameda Research, "could deduct assets, without [A] entry in the stock market book."
What do you think about the efforts of FTX to maximize the restoration and to uncover the truth behind the unauthorized transactions and historical transactions? Share your findings in the comments below.
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