Wallets connected to FTX transfer over $100M stablecoins to exchanges
Three addresses connected to bankrupt crypto exchange FTX and its sister trading firm Alameda Research have moved around $145 million to crypto exchanges.
In a March 14 tweet, on-chain analyst Lookonchain reported that the addresses transferred 69.64 million USDT to a new address, 0xad6e, which then sent 43 million USDT to Binance, Coinbase, and Kraken.
The blockchain sleuth added that these addresses also transferred 75.94 million USDC to Coinbase’s custodial wallet.
Lookonchain said the wallets making the transactions were used to collect FTX’s assets after it crashed in November 2022.
Meanwhile, it was unclear why the bankrupt firm made these transfers to these exchanges as of press time. Several crypto community members have drawn speculations about the nature of these transactions.
CryptoSlate reported that crypto wallets connected to the bankrupt firm rose by more than $80 million on March 13 due to the broader market rally.
FTX’s fund recovery effort continues
FTX’s new management has continued its effort to recover and consolidate the assets of the bankrupt crypto firm.
So far, the firm said it had recovered over $6 billion in cash and cryptocurrencies. However, court documents showed the company’s liabilities were around $9 billion — that the firm holds only 1 Bitcoin against the 1,591 it owes customers.
Meanwhile, as part of its efforts to fully recover the firm’s assets, the FTX management wants to sell its $45 million stake in venture capital firm Sequoia Capital to Abu Dhabi-based Al Nawwar Investments RSC Limited.
Besides that, the firm has filed a lawsuit against Grayscale Investment to unlock its Bitcoin and Ethereum Trusts so that investors can redeem their shares and reduce the management fees.
The bankrupt exchange has also proposed a $4 million bonus plan for employees with “unique and specialized skillsets” that are difficult to replace and are critical to its case.