FTX advisers have found more than $5 billion it could sell to repay creditors, ... trends now
FTX advisers have found over $5billion in cash or cryptocurrency assets it could use to pay back creditors, a court has heard.
Attorney Andrew Dietderich told Delaware bankruptcy judge John Dorsey the firm was working to liquidate the assets, which alone have a book value of $4.6billion.
It comes on top of the $425million in crypto being held by the Securities Commission of the Bahamas following the implosion of the company last year.
Disgraced FTX founder Sam Bankman-Fried has asked a federal judge to allow him access to some $465 million worth of shares in Robinhood to pay for his legal fees
The judge granted new FTX CEO John Ray III - who took over from Sam Bankman-Fried - the right to keep the identities of its nine million accounts a secret
Attorney Andrew Dietderich told Delaware bankruptcy judge John Dorsey (pictured) the firm was working to liquidate the assets, which alone have a book value of $4.6billion
Dietderich told the hearing there was still cash missing in what is owed to customers, but the overall amount remained unclear.
Meanwhile the judge granted new FTX CEO John Ray III - who took over from Sam Bankman-Fried - the right to keep the identities of its nine million accounts a secret.
Dietderich told the hearing the firm has identified about 120billion transactions that had been sent on the fallen crypto giant's platforms.
The start of Wednesday's hearing opened with the judge announcing a letter he received from four US senators urging him to appoint an independent examiner.
They claimed FTX lawyers may have conflicts that would make it difficult for them to conduct an independent probe.
But Dorsey said the letter would not influence him. He added: 'It is an inappropriate ex parte communication. It will have no impact on my decisions.'
Company attorney Andrew G. Dietderich said the company is working to monetize assets with a book value of $4.6 billion
It comes just days after the DOJ seized $464million worth of Robinhood stock owned by disgraced FTX founder Sam Bankman-Fried, despite his plea to access the shares to pay his legal fees.
In a court filing on Friday, federal prosecutors confirmed the seizure of the 55.3 million Robinhood shares and an additional $20.7 million in cash from UK brokerage ED&F Man Capital Markets under criminal and civil forfeiture warrants.
The stock was held by Emergent Fidelity Technology, a company 90 percent owned by Bankman-Fried, with Zixiao 'Gary' Wang, another former FTX executive, holding a 10 percent stake.
The Robinhood stock had been the subject of legal sparring in collapsed crypto exchange FTX's bankruptcy proceedings, but the DOJ seizure renders the matter moot, putting the shares out of reach of any of the parties for now.
FTX's current management, led by CEO Ray III, had sought a court order freezing the shares to help pay off the company's creditors.
