Cryptocurrency
FTX Making Important Progress to Maximize Recoveries of Customers Funds, Says CEO
FTX informed a federal judge that it had recovered more than $ 5.5 billion in assets which comprises illiquid cryptocurrencies
The New CEO of Crypto exchange platform FTX, John Ray has disclosed that the company is making important progress to maximize recoveries of customers’ funds.
The CEO in a recent interview stated that he has set up a task force team as regards reviving the bankrupt company’s international exchange. He also revealed that he is exploring the possibility of reviving the crypto exchange.
In his words,
“We are making important progress in our efforts to maximize recoveries, and it has taken a Herculean investigative effort from our team to uncover this preliminary information,” Ray said in a statement on Tuesday.
“We ask our stakeholders to understand that this information is still preliminary and subject to change. We will provide additional information as soon as we are able to do so.”
Investors King understands that Ray’s plan to revive the crypto exchange could be a path to allow customers to recover some of their assets, as well as an opportunity for the company to resume trading in order to make profit.
Meanwhile, on Tuesday, FTX informed a federal judge that it had recovered more than $ 5.5 billion in assets which comprises illiquid cryptocurrencies, including FTX proprietary token FTT.
However, while testifying to the U.S house committee, it disclosed that U.S. customers are more likely than any other customers to get their money back.
It is interesting to note that the FTX processed about $5 billion worth of withdrawals during its last few days of operating and still retained about $8 billion of assets of varying liquidity when it filed for chapter 11 bankruptcy in November last year.
The company’s former CEO Sam Bankman-Fried has been charged with fraud, conspiracy to commit money laundering, and conspiracy to defraud the US and violate campaign finance laws.
Among other charges, Bankman-Fried is accused of using FTX customers’ deposits to pay debts and expenses to Alameda Research, his hedge fund. The indictment also alleges that he and others conspired to violate federal rules on political donations.