FTX, the bankrupt cryptocurrency exchange, and its trading arm, Alameda Research, have unstaked over $1 billion worth of SOL tokens in recent months. This follows the company’s ongoing financial troubles and legal battles, Lookonchain reported.
According to Lookonchain, in the past three months, FTX/Alameda has already unstaked 530,000 SOL, worth approximately $71,000, and transferred it to multiple addresses.
On average, 176,700 SOL ($23.5 million) is being unstaked each month. Despite this, FTX/Alameda still holds a significant amount, around 7.06 million SOL, valued at nearly $945.7 million.
Unstacking During the Time of Bankruptcy Proceedings
This comes when FTX is going through bankruptcy proceedings. So this can be a medium to give back the funds to the users. The unstaking is a component of FTX’s continuous efforts to manage its assets while filing for bankruptcy.
In a separate development, FTX has also reached an agreement with Emergent Technologies, a company founded by former FTX CEO Sam Bankman-Fried. More than $600 million worth of Robinhood shares are at stake in this transaction.
Emergent has withdrawn its claim on 55 million Robinhood shares and accompanying cash assets in exchange for FTX paying Emergent $14 million to cover administrative fees. This was verified in a motion submitted to the Delaware Bankruptcy Court on September 6, 2024, by John Ray III, the current CEO of FTX.
The settlement with Emergent not only allows FTX to reclaim control over these shares but also provides a clear path for Emergent Technologies to quickly resolve its bankruptcy case in Antigua. The deal is expected to streamline FTX’s recovery process as the company continues to navigate its financial collapse.
FTX Case Proceedings Inside the Court
In the meantime, news has also been made about Caroline Ellison, the former CEO of Alameda Research. Her attorneys have submitted a plea for her to be released under supervision after serving her sentence.
Ellison was a key figure in the operations and ultimate demise of FTX, having previously held a senior managerial position there. During Sam Bankman-Fried’s trial last year, she had provided testimony against him, which resulted in his conviction on seven charges of fraud and conspiracy. Ellison entered a guilty plea to her role in the FTX-related fraud soon after the exchange filed for bankruptcy in late 2022.
The fall of FTX rocked the cryptocurrency world and prompted extensive enquiries into its operations. The company’s continuous efforts to recover money for creditors are shown in its efforts to dispose of assets like SOL and its agreement with Emergent Technologies.
Investors and creditors are closely monitoring any updates as FTX navigates its convoluted bankruptcy procedure, especially concerning asset recovery and the potential effects of the ongoing legal actions on the exchange’s long-term viability.
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