FTX: $13M Worth of Cryptocurrencies Sent to Alameda Research

Paigambar Mohan Raj
Source: Bitcoin.com

According to the cryptocurrency-focused security firm PeckShield, around $13 million worth of assets were transferred to Alameda Research’s consolidation wallet. Alameda Research is the sister company of the bankrupt exchange FTX. Additionally, PeckShield notes that cryptocurrencies valued at around $8.5 million were sent by the exchange Bitfinex.

As per the security firm, 6 million USDT (worth $6 million), 1545 ETH (worth $2.5 million), and 4.6 million USDC (worth $4.6 million) were transferred to FTX’s sister firm Alameda Research. Among all the assets, the 6 million USDT and 1545 ETH were sent from Bitfinex.

However, the reason for the transfer is still not known. The transactions come just one day after FTX and Alameda Research founder Sam Bankman-Fried was temporarily barred from contacting employees from both firms. Whether there is any connection between the two events, has not been proven. Alameda Research’s former CEO Caroline Ellison is also under the custody of authorities.

Furthermore, the current FTX CEO, John J. Ray III, has said that the firm will liquidate several recovered altcoins to repay creditors. The transfer of cryptocurrencies, however, was made to Alameda Research and not the bankrupt exchange. Therefore, the $13 million worth of assets is probably not part of the tokens to be sold. Nonetheless, it is not yet clear why the transfer was made in the first place.

FTX extends bid date for Japan and Europe units

The troubled exchange is currently attempting to liquidate assets to repay creditors. Their plans even include selling their Japanese and Europe businesses to gather funds. However, there aren’t many who want to take the units off their hands. According to a court filing on Wednesday, the preliminary bid deadline has been extended to Mar. 8. Moreover, the auction date has been changed to Apr. 26.

Several FTX divisions, including LedgerX, the Japanese and Singaporean cryptocurrency exchanges, including the European digital assets and derivatives company, were placed up for auction by administrators in December.

The Japanese business separated client money and is anticipated to return assets to clients this month. The Financial Services Agency of Japan stated last month that the unit won’t lose its licenses even if its owner changes.