FTX bankruptcy filing speculates over 1M creditors

FTX bankruptcy filing speculates over 1M creditors

The last bankruptcy filing for the exchange revealed that there might be 1 million creditors instead of the 100,000 originally estimated. Leadership and the last days of the exchange. On November 14, a new document was filed in a US federal court in Delaware, where FTX US is headquartered. The exchange may have “more than 1 million creditors in these Chapter 11 cases.”

This comes after Bankman-voluntary Fried’s Chapter 11 filing on November 11—at the time, 100,000 creditors were listed. More than 100 distinct companies allegedly own these one million creditors. The document also notes Bankman-Fried’s resignation on November 11 and reiterates that the company is now operating with restructuring leader John Jay Ray III as CEO. The new FTX leadership called for their claims to be consolidated into a list of 50 people. Due to overlaps and the number of creditors involved, and organizations. Debtors anticipate that different creditor lists may overlap, and some debtors may have less than 20 key unsecured creditors. The business has asked the courts for authorization to file documents electronically via email rather than through publication.

The latest document also touched on Bankman-Fried’s final days as the exchange’s chief executive. He said in the run-up to the events of November 11: “Questions were raised about Mr. Bankman-Fried’s leadership and the handling of FTX’s complex assets and businesses under his leadership, rumors began about the former CEO’s status and whereabouts to emerge.

He is being held in the Bahamas and may be attempting to leave for Dubai. Since FTX was one of the biggest exchanges in the world, the film also showed interest from international regulators. “Controllers from all around the world are fairly interested in these happenings.

Numerous regulators have argued in favor of the necessity for tougher and more precisely defined crypto laws in the wake of the events that rocked the industry. Crypto firms, according to Maxine Waters, chair of the US House of Representatives Financial Services Committee. Regulators in California and New York City also declared that they were looking into the stock market’s fall. Federal authorities are looking into the situation outside the US in Turkey and the Bahamas.

Share to Social Media

Recent Articles

Join Our Newsletter