FTX, the cryptocurrency exchange embroiled in bankruptcy proceedings, has initiated a claim window for affected crypto asset holders, offering payouts at rates considerably lower than the prevailing market values.
According to Wu Blockchain, the valuations set by FTX for major cryptocurrencies like Bitcoin (BTC), Ether (ETH), Solana (SOL), and Binance Coin (BNB) are markedly below their current market rates.
Specifically, BTC is priced at $16,871, ETH at $1,258, SOL at $16.24, and BNB at $286, in stark contrast to their market prices of $62,144, $3,424.62, $129.96, and $411.32, respectively.
This significant disparity in pricing has sparked outrage and concern among cryptocurrency investors, leading many to question FTX’s transparency and fairness.
The discontent has been palpable on social media platforms, where users are vocally demanding accountability from the exchange.
In response to the mounting criticism, PricewaterhouseCoopers (PwC) released a statement explaining the ongoing Chapter 11 bankruptcy proceedings involving FTX Digital Markets and its associated debtors.
The objective is to consolidate assets for a more streamlined settlement process.
PwC has announced a deadline of May 15, 2024, for creditors to file their claims through a dedicated portal, with the first interim distribution anticipated for late 2024 or early 2025. All claims are to be calculated in U.S. dollars.
Adding to the complexities, FTX has issued warnings about unauthorized third parties making bids on behalf of certain FTX debtors.
READ MORE: Bitcoin Trader Recovers $13,000 Mistaken NFT Purchase Thanks to Seller’s Generosity
This has led to a clarification regarding the sale of digital assets, which, as per a bankruptcy court order, is to be managed exclusively by Galaxy Asset Management.
FTX emphasizes that only Galaxy is authorized to oversee any transactions related to the bankruptcy proceedings, urging institutional buyers and regulatory-compliant entities to adhere strictly to this directive.
Moreover, FTX has received court approval to liquidate its over $1 billion investment in Anthropic, an artificial intelligence company, highlighting the extensive measures being taken to address the financial turmoil and fulfill creditor claims.
This development underscores the ongoing efforts to navigate the fallout from FTX’s bankruptcy and the intricate process of asset liquidation and creditor compensation.
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