FTX can begin selling its digital assets, bankruptcy court rules

FTX can start selling digital assets after filing to hire Galaxy to manage its crypto last month

article-image

WindAwake/Shutterstock modified by Blockworks

share

A judge on Wednesday granted approval to guidelines for the sale of FTX’s digital assets during a hearing.

The decision puts a plan in motion that would see $100 million worth of digital assets sold each week. According to a revised order, also filed Wednesday, the order — if entered on a Wednesday — sets the weekly limit for the week at $50 million.

The weekly order would begin on Saturday at midnight and would be through Friday at 11:59 pm ET, according to the calendar outlined in the Wednesday filing.

CoinDesk reported that the judge approved the plan while overruling two objections.

In addition, the order requires that FTX will be able to sell bitcoin, ether, and “certain insider-affiliated tokens” so long as the “Debtors determine, in their business judgment, to commence sales of Bitcoin, Ether, FTT or certain other insider-affiliated tokens, which must be done through an Investment Manager” with at least ten days written notice. 

The order comes after a tweet from the official FTX account, which said the former crypto exchange “has been actively bridging tokens from various blockchains back to their native blockchains” spurred concern from traders.

In August, FTX sought to tap Galaxy Digital to stake, hedge and manage its crypto.

The filing at the time said that FTX debtors and Galaxy would be “authorized to utilize staking options available through their qualified custodians using their respective private validators if the Debtors determine in the reasonable exercise of their business judgment that such activities are in the best interests of their estates.”

Outside of the bankruptcy, FTX has received over 75 bidders as it looks into a possible FTX 2.0 launch according to a notice filed earlier this week.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Nillion_DeSci_Report_Template.png

Research

Nillion’s Monad Integration is poised to catalyze the next phase of DeSci’s evolution by eliminating key privacy bottlenecks. This synergy allows researchers, institutions, and DAOs to exchange sensitive data and insights securely while managing governance and payments onchain.

article-image

Blockworks Research also thinks that net new assets (NNAs) are a metric to keep an eye on

article-image

The Republican-sponsored GENIUS Act has passed a key procedural vote in the US Senate. 

article-image

Cash enables law evasion at a small scale and crypto enables it on a large scale

article-image

Vibe coders are shipping faster than you think

article-image

A downgrade from Moody’s had US Treasury yields on the rise, but history says the volatility should be short-lived

article-image

The game offers 1v1 battles, plus optional NFTs and wagering