FTX Launches Asset Review. Here’s Where Remaining Holdings Stands
The strategic review of global assets was launched by the collapsed cryptocurrency exchange FTX, and around 100 related companies, on Saturday. It is part of Chapter 11 bankruptcy. The firm will prepare for the sale or restructuring of some related businesses and assets.
FTX $2 bln funds drop massively
The bankruptcy filings of FTX and its affiliates on November 11 are considered to be one of the most devastating blows to the cryptocurrency industry. The bear market conditions led to huge losses for investors and customers, leaving more than 1,000,000 people without a job.
FTX and its affiliates requested relief to allow the operation of its cash management system, which is vital to its vendors. According to court filings, the bankrupt firm requested that the court allow them to pay prepetition damages up to $9.3million to vendors.
According to reports, FTX EU Ltd. is the company with the largest financial position. It has $49.4 million of total cash. The $48.1 million in total cash held by West Realm Shires Services Inc is comprised of FTX.US, a crypto exchange and other acquisitions.
Filings revealed that the $2B fund launched in January by FTX Ventures had less than $800k in cash available. These positions were calculated using verifiable books, according to the collapse exchange.
New CEO claims that affiliate firms are solvent
John J. Ray III, FTX’s new CEO, highlighted key points from the review based upon the past week in a statement. He stated that they were happy to see that solvent balance sheets have been created by many licensed and regulated companies that were part of the collapsed exchange.
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