FTX approves sale of four businesses including FTX Japan in bankruptcy proceedings

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To bid such as FTX Japan

On the 13th, the Delaware bankruptcy court approved the sale of four businesses under the umbrella of the crypto asset (virtual currency) exchange FTX. Japanese exchange FTX Japan is also included.

FTX Japan, FTX Europe, futures and options exchange LedgerX, and stock trading platform Embed were allowed to sell.

Regarding the Japanese business, court documents state that “FTX Japan Holdings Co., Ltd. is the holding company of its wholly-owned subsidiary, FTX Japan, and Quoine.” It is described that

FTX is soliciting bids for these businesses and may sell its 100% interest in FTX Japan Holdings or separately sell its 100% interest in FTX Japan or FTX Singapore held by FTX Japan Holdings. be.

What is FTX

A cryptocurrency exchange led by Sam Bankman-Fried (SBF). Since its establishment in 2019, it has rapidly made a name for itself and has grown into a major exchange after Binance, the largest exchange in the industry. It went bankrupt after that and filed for bankruptcy in the United States in November.

▶Cryptocurrency Glossary

As for the current schedule, Embed is expected to bid on February 21st, LedgerX on March 7th, and FTX Japan and FTX Europe on March 21st. On the other hand, FTX is also said to be able to cancel the scheduled bidding and hold the auction on a different date after consulting with its advisors.

About 117 organizations have already expressed interest in a potential acquisition of the FTX business, according to a sale filing filed Monday. As for the breakdown, 41 companies showed interest in FTX Japan, 40 companies in FTX Europe, about 50 companies in Embed, and 56 companies in Ledger X.

FTX has signed non-disclosure agreements with 59 of them. This allows organizations considering acquisitions to access information about how their businesses operate, and to scrutinize the risks involved in making acquisitions.

At a hearing on the FTX bankruptcy proceedings on Wednesday, Kevin Kofsky of Perella Weinberg, the investment bank that has contracted with FTX in the bankruptcy filing, said, “It’s relatively independent from FTX and loses value if it’s sold later. There is a possibility.” I was just explaining that the sale of LedgerX, Embed, FTX Japan and FTX Europe is a priority.

In addition, FTX Japan announced at the end of December that withdrawals of customer assets, which are currently suspended, will be resumed around mid-February 2023.

Relation: FTX Japan to return customer assets by mid-February next year

Recovery status of assets

At a public hearing on the 11th, FTX lawyers just announced that they had recovered about 660 billion yen (about $5 billion) of FTX assets. Assets consist of cash, highly liquid cryptocurrencies and investment securities.

FTX interim CEO John J. Ray previously said at least ¥1 trillion ($8 billion) of client assets were missing. The fact that about 660 billion yen was secured is considered a step toward improving the situation.

Relation: FTX secures 660 billion yen in assets

Sam pleads not guilty to criminal charges

Former FTX CEO Sam Bankman-Fried has pleaded not guilty to eight criminal charges. Sam has been charged with fraud, money laundering and illegal campaign financing, but his intent will be clarified at a trial that begins in October.

Relation: Former CEO of FTX Sam, claiming innocence in arraignment

The post FTX approves sale of four businesses including FTX Japan in bankruptcy proceedings appeared first on Our Bitcoin News.

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