Bankrupt crypto exchange FTX said in a report to creditors on Tuesday that hacks had stolen about $415 million in cryptocurrency.
About US$323 million (about Rs.2,640 billion) of crypto was hacked FTX‘s international stock exchange and $90 million (about Rs. 7.30 billion) from its US bourse have been hacked since it filed for bankruptcy on Nov. 11, CEO John Ray said in a separate statement on Tuesday.
FTX Founder Sam Bankman Fried has been accused of stealing billions of dollars from FTX clients to pay off debts at its crypto-focused hedge fund Alameda Research. Bankman-Fried has pleaded not guilty to the fraud charges.
FTX told a Delaware bankruptcy judge last week that nine weeks after filing for bankruptcy, it had filed over $5 billion.
The company provided more details on Tuesday, saying it had US$1.7 billion (about Rs.13,890 crore) in cash, US$3.5 billion (about Rs.28,595 crore) in liquid cryptocurrency and Recovered US$300 million (about Rs.2,450 crore) in liquid securities.
FTX did not provide an estimate of total liabilities, but said it had identified important significant deficits on both its international and US crypto exchanges.
“We are making progress in our efforts to maximize recovery and it took our team a Herculean investigative effort to uncover this preliminary information,” Ray said in the statement.
Crypto assets recovered so far include $685 million in Solana, $529 million (approximately Rs. 5,590 crore) in FTX’s proprietary FTT token and $268 million (approximately Rs. 2,190 crore) in Bitcoinbased on crypto prices as of November 11, 2022. Solana, praised by Bankman-Fried, lost most of its value in 2022.
During FTX’s first investigation into hacks in its system, it uncovered a November seizure of assets by the Securities Commission of the Bahamas, sparking a dispute between FTX’s US-based bankruptcy team and Bahamian regulators.
The two sides settled their differences in January and Ray said on Tuesday the Bahamian government had $426 million (around Rs. 3,447 billion) available for creditors.
Referring to the dispute during an event Tuesday at the Atlantic Council in Washington, Bahamas Prime Minister Philip Davis said Ray’s team “came around” and accepted that the asset seizure “was appropriate and perhaps made the day for many of the investors.” saved FTX.” |
© Thomson Reuters 2023
