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FTX continues to move funds: $145 million transferred to exchanges

Among the many ongoing investigations, FTP extension keep moving your funds. As it turns out, addresses related to the failed crypto exchange would transfer approx 145 million dollars in stablecoins on various platforms.

Also three wallets, allegedly linked to FTX and its subsidiary Alameda researchprocessed 69.64 million USDT and 75.94 million USDC.


Wallets linked to FTX are moving millions of Tether

As noted by Lookonchain in recent days, three wallets associated with FTX and its subsidiary Alameda Research have moved 69.64 million Tethers (USDT) a 75.94 million USD coins (USDC).

Tether reserves have been transferred to escrow wallets on platforms such as Coinbase, Binance AND Kraken. All funds in USDC have been transferred to the Coinbase escrow wallet.

Both FTX and Alameda are in the process of recovering assets as they must respond to refund requests from various groups of investors. According to FTX’s legal representative Andy Dietderichby January 2023, the troubled platform had already recovered $5 billion in cash and liquid cryptocurrencies.

However, total liabilities exceed $8.8 billion. The latest update on FTX’s bankruptcy case comes after a new deal was struck with the Abu Dhabi government-owned company.

Alameda Research sold its remaining stake to a venture capital firm Capital city of Sequoia to the Abu Dhabi sovereign wealth fund for $45 million. In March, Alameda Research filed a lawsuit against him Grayscale investment in the Delaware Court of Chancery.

Specifically, the lawsuit seeks to release $9 billion or more in value to Greyscale Bitcoin and Ethereum Trusts shareholders and realize more than $250 million in asset value to FTX customers and creditors.

As the lawsuits pile up FTP extension, some plaintiffs filed to consolidate claims against the failed exchange. However, on March 8, the judge denied the request for consolidation, saying that the defendants had not yet been allowed to respond.

United States District Judge, Jacqueline Corley, recently denied a request to consolidate five proposed class actions against FTX.

How much did FTX recover from the crash?

As expected, the troubled cryptocurrency exchange has recovered, according to FTX lawyer Andy Dietderich 5 billion dollars in cash and liquid cryptocurrencies. However, the company is still working to reconstruct its transaction history and the overall lack of customers is still unclear.

The acquired assets do not include those seized by the Bahamas Securities Commission, mostly including tokens ft Additionally, in discussions with a Delaware bankruptcy judge, Dietderich disclosed that the company plans to sell $4.6 billion in non-strategic investments.

These include branches like LedgerX, Embed, FTX Japan and FTX Europe: these companies are independent of FTX and have separate accounts. FTX Japan has already made plans to refund clients’ funds.

In addition, FTX will conclude its sponsorship agreement from 2021 to 2028 with the popular game League of Legends. As already mentioned, FTX is calculated to have 8.8 billion dollars total liabilities.

At the time, several sources said the exchange held an estimated total of $8 billion in assets, but most of them were highly illiquid. More, Sam Bankman-Friedfounder of FTX, has pleaded not guilty to all criminal charges related to the stock market collapse.

The U.S. Attorney’s Office for the Southern District of New York has formed a task force to track and recover missing client funds as well as investigate and prosecute the FTX collapse.

Alameda Research sells stake in Sequoia Capital for $45 million

One of the latest updates on the FTX bankruptcy case comes after a new deal was finalized between the exchange and the Abu Dhabi government-owned company. Alameda Research, the exchange’s investment arm, will sell its remaining stake in venture capital firm Sequoia Capital to an Abu Dhabi-based sovereign wealth fund, a March 8 filing from the US Bankruptcy Court for the District of Delaware reveals.

According to the filing, FTX decided to close the deal with the buyer based on its superior offering and ability to quickly complete the sale transaction. This comes after interest in buying the shares by four different entities.

Al Nawwar Investments RSC Limited, the buyer of Alameda’s stake, is owned by the government of Abu Dhabi, the capital of the United Arab Emirates. The press release states that the buyer has already invested in Sequoia.

The surgery is worth it 45 million dollars, could be completed by March 31. However, subject to the approval of a Delaware bankruptcy judge, John Dorsey. The attempt to dispose of the remaining stake in Sequoia Capital is part of FTX’s efforts to liquidate its investments to pay off its debt to creditors.

Dorsey has been involved in some aspects of litigation involving FTX. After filing for initial bankruptcy, Dorsey gave the crypto exchange permission to sell some of its assets.

These businesses included derivatives platform LedgerX, equity clearing platform Embed and the company’s regional subsidiaries FTX Japan and FTX Europe. In January 2023, FTX was reported to have recovered more than $5 billion in cash and liquid cryptoassets.

In a related case, court documents on March 8 revealed that Dorsey approved it Voyager Digital $445 million is committed following a lawsuit by Alameda Research against the company over loan repayments.

Author: Alessia Pannone

Source: Cryptonomist

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