Flow

United

In a persistent effort to offset misappropriations, FTX, an ex-cryptocurrency exchange, has successfully reclaimed approximately $7 billion in liquid assets. 
<blockquote class="twitter-tweet"> 
 FTX debtor have filed the second interim report <a href="https://t.co/aEafxFTnLu" rel="nofollow" target="_blank">pic.twitter.com/aEafxFTnLu</a> 
 — Sunil (FTX 2.0 Champion) (@sunil_trades) <a href="https://twitter.com/sunil_trades/status/1673370863763169280?ref_src=twsrc%5Etfw" rel="nofollow noopener" target="_blank">June 26, 2023</a>
</blockquote> 
However, as stated by CEO John Ray in the FTX Debtors’ second interim report, the ongoing hunt for additional resources remains a complex issue due to extensive commingling of funds​​. 
The FTX Debtors, comprising FTX and its affiliates, estimate the total misappropriated customer assets to be around $8.7 billion. A substantial portion of these funds, approximately $6.4 billion, were held in fiat and stablecoins. 
The misappropriation of funds, however, was not merely an oversight. Evidence suggests the former FTX leadership deliberately commingled and misused customer deposits, allegedly with assistance from a senior FTX Group attorney​. 
An intricate web of false representations and deceptions facilitated the exodus of FTX customer money out of primary deposit accounts. This included false statements to banks and even misrepresentations to the United States Congress by former <a href="https://crypto.ro/en/news/ftx-founder-sam-bankman-fried-fights-legal-battle/">CEO Sam Bankman-Fried</a> (SBF). 
The report also highlighted the misuse of funds for political and charitable donations and company investments, such as luxury real estate​. 
<figure id="attachment_22306" aria-describedby="caption-attachment-22306" style="width: 100%" class="wp-caption alignnone">
 <img decoding="async" class="wp-image-22306 size-full" src="https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse.jpg" alt="Flow chart of funds at FTX prior to its collapse" width="2256" height="1564" srcset="https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse.jpg 1200w, https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse-300x208.jpg 300w, https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse-1024x710.jpg 1024w, https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse-768x532.jpg 768w, https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse-750x520.jpg 750w, https://crypto.ro/en/wp-content/uploads/2023/06/Flow-chart-of-funds-at-FTX-prior-to-its-collapse-1140x790.jpg 1140w" sizes="(max-width: 2256px) 100vw, 2256px" title="FTX reclaims $7B in assets, struggles continue 1">
 <figcaption id="caption-attachment-22306" class="wp-caption-text">
 Flow chart of funds at FTX prior to its collapse | FTX Debitor
 </figcaption>
</figure> 
There is a discrepancy in the estimates of the total liability to customers resulting from the extensive commingling and misuse of deposits. 
While the FTX Debtors’ estimate is $8.7 billion, senior executives of FTX and <a href="https://crypto.ro/en/news/alameda-wallets-activate-days-after-sbf-bail-and-crypto-community-suspects-foul-play/">Alameda Research</a> CEO Caroline Ellison’s informal calculations range from $8.9 billion to $10 billion​.

FTX reclaims $7B in assets, struggles continue

crypto.ro global

Other articles published on Jun 27, 2023

MAS Unveils Framework for Digital Asset Networks as Singapore Rushes to Become Global Crypto Hub

Bitcoin (BTC) Price Poised To Break $33K Level In Next 48 Hrs, But There’s A Catch

How to Earn Passive Income in 2023: Caged Beasts Coin’s Referral Scheme And Staking Cosmos And Po...

PUBLISH to Showcase Web 3.0 Solution at the 74th World News Media Congress

Ripple CEO Asserts Focus on Utility Amid Crypto Winter

Firo: Empowering Privacy and Security

Join our free newsletter for daily crypto updates!