Crypto Assets Worth $740 Million Recovered in FTX BankruptcySome of FTX funds were seized by security regulators of Bahamas a few days after the company filed for bankruptcy
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The collapse of cryptocurrency exchange, FTX has sent shockwaves through the entire crypto space. BitGo, a cryptocurrency custodial company, was hired by FTX after the company declared bankruptcy in November.
According to a disclosed figure in the court filings, BitGo recovered $740 million in assets. The amount is a fraction of the missing amount. The whereabouts of the substantial amount of assets remain unknown.
Chanpeng Zhao had agreed to a non-binding letter of intent to acquire FTX amid its 'liquidity crunch' issues. However, Binance called off the agreement after 24 hours of agreeing to acquire FTX. The reasons were cited as mishandling customer funds, alleged US agency investigations as well as corporate due diligence.
The issue at hand remains that it would take a long time for FTX' investors to recover the money invested on the platform. The crypto world was sent into shock as the then second biggest crypto exchange crumbled to the ground. FTX and Sam Bankam-Fried are under investigation in the U.S. and abroad for possible security violations. Some of FTX funds were seized by security regulators of Bahamas a few days after the company filed for bankruptcy.
The problems realted to FTX's 'liquidity cruch' came to light after Bankman-Fried requested for $8 billion for the company to back up its user's crypto assets.
