The new FTX management team has recovered $7 billion, according to Bloomberg, as a new investigative report has been released by the now-collapsed exchange. Moreover, the new management has stated they have made, “substantial progress” in asset recovery.
However, the newly revealed investigative report shows the exchange owes its customers $8.7 billion. That total amount was owed at the time of the bankruptcy filings last year. Additionally, the report noted that $6.4 billion of that total is fiat currency and stablecoins that have been misused.
FTX Recovers $7 Billion in Liquid Assets
The collapse of FTX is undoubtedly the most controversial development in the relatively young history of cryptocurrency. Once perceived as a staple for the digital asset industry, the crypto exchange has been exposed as an undeniable fraud. Ultimately, they would fall under Chapter 11 bankruptcy protection in the closing months of last year.
While the bankruptcy proceedings are ongoing, some interesting progress has been made. Specifically, FTX’s new management has reportedly recovered $7 billion, as a new investigative report has been released. Nevertheless, the new management team for the exchange noted the recovered assets as “substantial progress,” thus far.
However, the newly released report provides some rather incredible findings. First, beginning with the confirmation that more than $8.7 billion is still owed to customers. Additionally, the new FTX FEO, John Ray III, noted the undeniable reality of the exchange.
“The release of this report furthers our stated objective of transparency,” Ray stated. “The image that the FTX group sought to portray as the customer-focused leader of the digital age was a mirage.” Thereafter, remarking on “commingled customer deposits and corporate funds,” that were misused by the exchange’s leadership.
Conclusively, Ray stated, “We will continue to report our analysis and findings as our work progresses and remain committed to recovering as much value as possible for creditors.” Conversely, the reports are slated to continue in regular increments. Although this rendition does not deliver any other breaking news, there will undoubtedly be more revelations brought to light in the coming releases.