FTX and Alameda, two prominent entities in the cryptocurrency world, have been actively divesting their holdings in recent times. This move signifies their unwavering dedication to achieving settlements with creditors amid the tumultuous bankruptcy battle. Through various transfers to exchanges, they have showcased their commitment to resolving the financial challenges they face.
Within the last 24 hours, FTX and Alameda have transferred a staggering $36.01 million worth of MATIC and AVAX to different exchanges. Spot on Chain analytics revealed that FTX alone deposited $36.01 million worth of these cryptocurrencies. Coinbase and FalconX received the majority of these assets, with 22.6 million MATIC valued at $17.2 million going to Coinbase, while FalconX acquired 975,859 AVAX worth $18.83 million. These significant transfers highlight the scale of their divestment efforts.
Interactions with Other Exchanges
On November 21, FTX transferred around $3.16 million worth of Ethereum to Binance, its troubled former rival. This transfer was facilitated through Wintermute Trading. Before this major transfer, FTX conducted test deposits to FalconX, another digital asset trading platform. These preliminary steps indicate a strategic approach to subsequent asset transfers.
Further analysis shows that on November 17, FTX and addresses associated with Alameda unstaked 11.5 million MATIC, valued at $9.24 million. This demonstrates their willingness to liquidate assets to settle outstanding debts. It is clear that FTX is taking definitive steps towards resolving its financial obligations.
Since October 24, FTX has successfully transferred an impressive $488 million across 48 different tokens. This amount is a slight increase from the closing sum of $452 million recorded on Monday. The most transferred asset during this period was SOL, with around 6.9 million tokens worth $280.2 million moving between wallets. Other notable tokens include ETH, MATIC, RNDR, LINK, DYDX, GRT, LDO, MKR, MANA, BAND, CHZ, SUCHI, ENS, and MASK, among others. These transfers signify FTX’s intent to manage its debt obligations.
Settling Debts
FTX’s continuous asset sale aligns with its plan to settle its outstanding debts. A recent report indicates that some FTX creditors have been offered as much as $0.6 to $0.65 on the dollar, marking a 30% increase from the previous offering in October. This development showcases FTX’s commitment to addressing its financial responsibilities.
Despite these efforts, the FTX court dispute continues to evolve. Recently, the attorney representing Brandon Williams, a defendant in the FTX saga, requested that a Delaware court postpone the ongoing bankruptcy proceedings. The purpose of this delay is to conduct further investigations into the events between November 2021 and October 2022 that contributed to FTX’s insolvency. This legal move underscores the complexity of the situation and the need for a comprehensive understanding of the circumstances leading to FTX’s downfall.
The divestment actions undertaken by FTX and Alameda serve as a resounding testament to their commitment to resolving their financial challenges. Through massive transfers to various exchanges, unstaking assets, and ongoing negotiations with creditors, FTX aims to settle its debts and move forward from its insolvency. The persistence demonstrated by these entities highlights their dedication to finding a resolution amidst an arduous bankruptcy battle.
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