The Collapsed FTX Owes Nearly $3.1 Billion To The Top 50 Creditors

The US bankruptcy court has granted protection to the cryptocurrency exchange FTX, which claims to owe its 50 largest creditors over $3.1 billion.

The exchange stated in a court document on Saturday that it owed its top 10 debtors approximately $1.45 billion without naming them.

In one of the most publicised crypto meltdowns, FTX and its affiliates filed for bankruptcy in Delaware on November 11. As a result, an estimated million consumers and other investors are expected to have lost billions of dollars.

The cryptocurrency exchange announced on Saturday that it has started a strategic evaluation of its worldwide assets and is putting some firms up for sale or reorganisation.

According to a statement from the company’s new CEO John Ray, FTX would look into sales, recapitalizations, or other strategic transactions for some of its units.

In a court document filed on Saturday, FTX requested authorization to pay prepetition claims of up to $17.5 million after the entry of the final decision and up to $9.3 million after an interim order to its essential vendors.

The exchange said that its businesses would suffer “immediate and irreparable loss” if the requested court relief was not granted.

Bankman-Fried, a 30-year-old crypto executive whose worth was estimated by Forbes to be over $17 billion just two months ago, has experienced a swift reversal as a result of the situation.

Written by Aly Bukshi

The editorial staff at IPIN is a team of news publishing experts led by Aly Bakshi. We publish interesting and informative news/articles all over the world. Our aim is to provide readers with the latest and most up-to-date information possible.