• FTX has so far recovered $7 billion in assets from its bankruptcy.
• The total deficit owed to customers is estimated at around $8.7 billion.
• The exchange used customer deposits to finance political and ‘charitable’ donations, venture investments, acquisitions, and luxury real estate for senior FTX Group employees.
FTX Recovers Billions in Liquid Assets
FTX, a crypto trading platform, has reportedly recovered billions of dollars in liquid assets since declaring bankruptcy earlier this year. So far, the bankrupt exchange has managed to recover approximately $7 billion of its estimated $8.7 billion deficit owed to customers.
Customer Deposits Used To Fund Expenditures
The report suggests that FTX misappropriated customer deposits and corporate assets which have been used to fund numerous expenditures such as political and ‘charitable’ donations, venture investments and acquisitions as well as the purchase of luxury real estate for senior FTX Group employees in the Bahamas.
Founder Donates Millions To Politicians
The report also reveals that FTX’s founder and former CEO Sam Bankman-Fried donated over $100 million to politicians and related causes while other top executives acquired properties in the Bahamas worth over $243 million with commingled customer deposits.
Ongoing Efforts To Recover Assets
Despite these challenges, FTX is continuing its ongoing efforts to identify, secure and recover more assets for the estate. They anticipate additional recoveries as their work progresses with regular updates being provided on their progress made so far.
FTX has thus far managed to claw back billions of dollars’ worth of assets following its bankruptcy declaration earlier this year although there is still a long way ahead before it can fully satisfy its creditors.