FTX Debtors, made up of FTX and its affiliated debtors, and FTX Digital Markets (FTX DM), FTX’s Bahamas affiliate, announced on January 6 that they have reached a cooperation agreement in connection with the bankruptcy case of Chapter 11 of FTX debtors in Delaware and the provisional liquidation of FTX DM in the Bahamas.
Under the agreement, the parties will “share information, insure and return assets to their estates, coordinate litigation against third parties, and explore strategic alternatives to maximize refunds from interested parties.” They have also established parameters of cooperation in the court cases of each of the companies.
In addition, the parties agreed that the joint provisional liquidators will take the lead in disposing of real property in the Bahamas and will confirm the digital assets “under the control of the Bahamas Securities and Exchange Commission in the Fireblocks account previously disclosed by the FTX Debtors.” According to the agreement:
“The parties are comfortable that digital assets have been properly safeguarded by the Securities and Exchange Commission while restructuring talks continue.”
The Supreme Court of the Bahamas ordered on November 12 the transfer of all digital assets of FTX DM to a wallet owned by the Bahamas Securities Commission.
The CEO and Director of Debtor Restructuring of FTX, John Ray, has declared: “There are some issues we haven’t reached agreement on yet, but we have resolved many of the outstanding issues and have a way forward to resolve the rest.”
FTX’s US debtors, who are in Chapter 11 bankruptcy, and the joint provisional liquidators who are overseeing the winding up of FTX Digital Markets (FTX DM) in The Bahamas are once again working to reach an agreement over access to the exchange’s data. https://t.co/0ftWQesqni
— Nassau Guardian (@GuardianNassau) January 5, 2023
The deal still requires approval from the Delaware Bankruptcy Court and the Bahamas Supreme Court.
The US and Bahamian sides have been in conflict over a range of issues including accusations of favoritism, withholding of information and even that the Bahamian authorities asked the former CEO of FTX, Sam Bankman-Fried, to mint new tokens that they would control.
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information presented here should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Keep reading:
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the entire amount invested may be lost. The services or products offered are not directed or accessible to investors in Spain.