FTX, a major cryptocurrency exchange, suffered a significant blow in November 2022 when a hacker siphoned $600 million from its wallets. Since then, bankruptcy lawyers have been working on sorting out the aftermath of the collapse. In early March, it was reported that the exchange had a massive shortfall in assets, with only $694 million in liquid assets, including fiat, stablecoins, and various cryptocurrencies.
However, recent news suggests that there may be some hope for creditors, as OKX has identified $157 million in digital assets belonging to FTX and Alameda Research and is turning them over to the bankruptcy estate.
OKX has announced that it will transfer digital assets worth $157 million, belonging to FTX and Alameda Research, to the bankruptcy estate of the companies. However, the exchange has not revealed its identified digital assets.
After FTX's collapse in November 2022, OKX conducted investigations to identify any FTX-related transactions on its exchange. The company secured the assets and froze the connected accounts upon discovering assets and accounts linked to FTX and Alameda Research, according to a statement released by OKX.
Following the downfall of FTX, concerns arose that the hack of its wallets, resulting in the theft of $600 million, may have compromised FTX accounts on other exchanges.
Bankruptcy lawyers involved in the case had announced earlier in March that the exchange had a significant deficit in assets, with only $694 million in highly liquid assets, including fiat, stablecoins, bitcoin, BNB, SOL, and ether, classified as "Category A Assets" prior to OKX's statement.
Got something to say about OKX turning over assets to FTX and Alameda or anything else? Write to us or join the discussion on our Telegram channel.
Article Photo Credits to: C-Span (FTX CEO interim John J. Ray III)