Reviving from the ashes, cryptocurrency exchange FTX shocks the world with billions in funds to fully reimburse its 2 million customers. A game-changing turn in the bankruptcy saga, FTX sets a new standard for financial integrity.
After facing a tumultuous downfall in November 2022, cryptocurrency exchange FTX has emerged stronger than ever, with a surplus of billions in funds. In an exclusive interview with Bloomberg, FTX’s fearless leader and CEO, John Ray, proudly declared this feat as an “unbelievable result,” proving the exchange’s unwavering commitment to its 2 million loyal customers.
Exciting news is buzzing around the financial world as FTX prepares to sell off its assets, leaving it with a whopping $16.3 billion in cash. This impressive amount far surpasses their $11 billion debt to customers and other creditors, as reported by Bloomberg.
While the bankruptcy victims can rest assured that they will receive full payments with interest, it seems that equity holders may not be as fortunate. According to court documents, they are unlikely to receive any residual amounts.
Creditors may recover up to 142% of their debt, while customers may be pleasantly surprised with 118% of their account balances recovered amid FTX’s turbulent bankruptcy.
Revolutionary plans are brewing at FTX as their restructuring advisors unveil a groundbreaking proposal – a fund that will offer compensation to select creditors, utilizing funds that were originally intended for regulatory purposes.
Exclusive: Coinbase faces class-action lawsuit
Why did the price of Shiba Inu (SHIB) increase today?
BTC-e Founder Pleads Guilty to Laundering Stolen Bitcoin
While the timeline may be uncertain, one thing is for sure – payouts are on the horizon, expected to arrive in mere months. And as the buzz around this news spreads, FTX’s very own FTX Token (FTT) experiences a meteoric rise, surging over 33% to reach a staggering $2.
FTX’s downfall was a shock to the financial world, with accusations of embezzlement and misuse of customer funds swirling around its owners and their hedge fund, Alameda Research.
The once-promising exchange, founded by Sam Bankman-Fried, crumbled in November 2022, leaving chaos and devastation in its wake. Bankman-Fried, once hailed as a visionary leader, now faces a 25-year prison sentence and a staggering $11 billion reimbursement to those affected by his actions.