FTX Financial News

Prominent crypto hedge fund Tyr Capital Partners faces allegations of “criminal” mismanagement and was raided by a Swiss prosecutor over losses incurred in relation to FTX.

Bahamian bank Deltec is facing a new lawsuit claiming it provided a ‘secret’ line of credit to FTX  fraudster Sam Bankman-Fried that allowed him to buy Tether, a February 17 Bloomberg report reveals.

FTX creditors have filed a class-action lawsuit against the law firm overseeing the exchange’s bankruptcy, Sullivan & Cromwell (S&C).

New York-based law firm Sullivan & Cromwell, which is currently handling FTX’s bankruptcy case, is expected to be appointed as the independent monitor for Binance Holdings.

Now-defunct crypto exchange FTX is set to sell one of its Digital Custody Inc. (DCI) unit for a fraction of its original price.

The FTX Debtors estate, under the leadership of CEO John Ray III, has initiated the process of selling Digital Custody Inc. (DCI) to CoinList.

Former employees of crypto trading firm LedgerPrime have unveiled a new hedge fund named Split Capital, focusing on liquid tokens. Split Capital’s founders include Zaheer Ebtikar, Michael Churchouse, and Nai Boonkongkird, with Shiliang Tang, former chief investment officer at LedgerPrime, serving as an advisor.

The parents of Sam Bankman-Fried, the disgraced founder of FTX, are seeking to have the lawsuit filed against them dismissed. They are arguing that they had no involvement in any alleged fraudulent transfers or breaches of fiduciary duties.

Embattled crypto lender Celsius has transferred over $125 million worth of Ether to various cryptocurrency exchanges as part of its plan to initiate repayments to its creditors.

Former FTX CEO Sam “SBF” Bankman-Fried has informed the federal court that he has retained new counsel ahead of his sentencing hearing for seven criminal charges. Additionally, SBF’s legal team submitted a sealed document indicating the possibility of considering an appeal to his November conviction.

Dave, a fintech firm specializing in financial services through its mobile application, is set to acquire a $100-million convertible promissory note previously issued to FTX Ventures, the venture capital arm of bankrupt crypto exchange FTX. 

Now-defunct cryptocurrency exchange FTX is embroiled in a legal battle that could extend over several years as creditors seek to recover over $8 billion. 

US prosecutors have decided  not to pursue the remaining charges  against Sam Bankman-Fried, including allegations of foreign bribery and bank fraud. 

US prosecutors are reluctant to pursue a second trial in the case involving Sam Bankman-Fried, former CEO of the now-defunct crypto exchange FTX.

FTX Trading Ltd. affiliated debtors have submitted a motion for the entry of an order estimating the value of claims related to digital assets and fiat currency, including customer entitlement claims.

The bankrupt crypto exchange FTX and its debtors have reached a settlement agreement with founder Samuel Bankman-Fried and others to address certain claims related to the acquisition of the stock trading platform Embed.

FTX cryptocurrency exchange filed for bankruptcy last year, Thomas Braziel, an investor who specializes in collapsed businesses, started brokering an unusual kind of transaction: a market to profit from FTX’s downfall. Braziel put one of his clients in touch with a large financial firm that had lost nearly $100 million when FTX went under. Last December, the firm agreed to sell its claim in the FTX bankruptcy — essentially an IOU from the collapsed exchange — for 6 cents on the dollar, betting that it was better to collect some fast cash than wait years for the husk of FTX to start paying creditors back. Then the market for FTX claims exploded. Braziel recently brokered the sale of a $19 million FTX claim for 68 cents on the dollar, collecting a nearly $100,000 commission, he said. Some claims are selling for more than 70 cents, as investors grow optimistic that FTX’s new leadership will recover a sizable portion of the roughly $8 billion that the founder, Sam Bankman-Fried, was convicted of stealing from customers. “The market is insane,” said Braziel, a partner at investment firm 117 Partners. “It’s so hot.”

Galaxy Digital, the cryptocurrency group led by US billionaire Mike Novogratz, is seeking additional asset sales from bankrupt digital asset companies following a successful deal that involved selling coins held by FTX. 

Bankrupt digital asset exchange, FTX has paid hundreds of millions in legal fees in a few months sparking reactions as creditors seek to recover their losses.

Now-defunct crypto exchange FTX has revealed its latest proposal aimed at returning billions of dollars to customers and creditors, marking the start of the final stage in resolving its bankruptcy case.

The debtors of now-defunct cryptocurrency exchange FTX have submitted an amended Chapter 11 plan of reorganization, suggesting that customer asset claims should be valued retroactively to the date of the exchange’s collapse in November last year.