2024

<ul class="news-points">
 <li>Sunil Kavuri criticizes FTX’s compensation plan for severely undervaluing customer claims.</li>
 <li>FTX customers will potentially lose $10 billion with the proposed plan.</li>
 <li>The plan includes clauses shielding the firm from lawsuits, which may lead to claim forfeitures if checks are not cashed in time.</li>
</ul>
Creditor activist Sunil Kavuri has voiced strong opposition to the proposed plan of FTX to compensate the defrauded customers of the fallen crypto exchange. Kavur took to X to outline his concerns and encourage a collective “NO” vote against the plan. For context, FTX creditors stand to lose over $10 billion should the proposed plan pass.
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 FTX Plan Takeaways 1) Sullivan and Cromwell included exculpation clause so they + no one involved sued for misconduct 2) S&amp;C puppet John Ray in charge with no accountability 3) Petition prices + 18% (&lt;$50k; 25% to 47% &gt;$50K) 4) Cheques paid 5) Lose claim if cheques not cashed…— Sunil (FTX Creditor Champion) (@sunil_trades) <a href="https://twitter.com/sunil_trades/status/1788139467322150958?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">May 8, 2024</a>
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The activist highlighted the <a href="https://coinedition.com/ftx-customer-refund-plan-plans-to-sell-1b-worth-anthropic-shares/" rel="noopener noreferrer nofollow">proposed repayment</a> structure severely undervalues the claims of FTX customers. Specifically, the plan suggests paying out claims with an 18% return for those under $50,000 …
The post <a href="https://coinedition.com/ftx-customers-face-potential-10b-loss-with-proposed-compensation-plan/" rel="noopener noreferrer nofollow">FTX Customers Face Potential $10B Loss with Proposed Compensation Plan</a> appeared first on <a href="https://coinedition.com" rel="noopener noreferrer nofollow">Coin Edition</a>.

FTX Customers Face Potential $10B Loss with Proposed Compensation Plan

Coin Edition

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