FTX mulls reboot proposals from bidders: Bloomberg

FTX filed for bankruptcy in November 2022

article-image

Sergei Elagin/Shutterstock modified by Blockworks

share

FTX has proposals from three bidders to bring the exchange — or a version of it — back to life, according to a Bloomberg report Tuesday.

At a court hearing, an investment banker for the company — Perella Weinberg Partners’ Kevin Cofksy — said it plans to make a decision on the proposals before the end of the year.

A few options are on the table, Cofsky allegedly informed the court. The exchange could be sold, an outside partner brought in to help reboot the exchange, or FTX could relaunch on its own — sans, of course, its previous CEO.

Former CEO Sam Bankman-Fried is currently on trial, facing seven federal fraud counts. He’s set to start week four of his trial later this week.

A filing revealed in early September that roughly 75 bidders had been contacted about “FTX 2.0.”

FTX announced, in early October, a proposed settlement of “customer property disputes” which would see roughly 90% of the funds returned to customers. The assets would be divided into three groups: FTX.US customers, a general pool, and assets for FTX.com. 

The proposal is set to be included in the reorganization plan set to be filed in December.

Back in September, the judge overseeing the bankruptcy case signed off on the guidelines for the sale of FTX’s digital assets.

The plan, as submitted, gave FTX the green light to sell roughly $100 million worth of digital assets each week.

Administrators in charge of the FTX estate continue to recover assets — having recovered roughly $7 billion — to repay creditors. Roughly $3.4 billion of that is in crypto.

FTX filed for bankruptcy in November of last year.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Top Icon.png

Research

Osmosis thrived in H2 2023 on the back of increased DeFi activity deriving from recently launched Cosmos-related projects and better market conditions. With new value accrual mechanisms for the native token, Osmosis is well-positioned to continue its strong performance in 2024.

/

article-image

Do Kwon may miss the start of the March 25 trial in the SEC’s case against the former executive and Terraform Labs

article-image

Riot Platforms bought 31,500 more mining machines while CleanSpark has begun operating in Mississippi

article-image

Dencun was activated on all testnets, a blog post Tuesday said

article-image

Hut 8 also announced it broke ground on a Texas mining site

article-image

Uniswap aims to become a “complete platform for swapping” following its latest product releases

article-image

Continued demand for bitcoin ETFs coupled with greater demand for bitcoin from exchanges is contributing to price moves, analysts say