FTX's creditors criticized the proposed 118% compensation plan. This plan was presented on May 7. And its key problem is that it implies the return of the cash equivalent of lost assets at the time of bankruptcy in November 2022.
The representative of the largest group of creditors, Sunil Kavuri, makes a claim to#FTXthat the compensation plan does not take into account the current value of the lost assets, which is 3-10 times greater.
Kavouri added that the bankruptcy law firm Sullivan & Cromwell included a waiver of liability clause in the plan. She will not be able to be prosecuted for illegal activities - selling FTX assets at discounts from 70% to 90% to her own clients and insiders (Ledger X, Galaxy), refusing to relaunch FTX 2.0, etc.
Creditors intend to boycott the plan at a vote in June. The plan, we recall, must be approved by the court.#FTTreacts calmly to criticism of the plan, due to the publication of which yesterday it grew by +40%, and maintains the volume level of $1.8466.
By the way, if you worry about the movements of the asset price since October 2023, then it went through an increase in five waves and showed an ABC correction almost to October prices. If we assume that the first wave began in mid-April as part of a return to growth, we could take the asset. As an option - on a test of local trend support. Goals for growth are the previous EMA 200 daily TF (currently $4.5342) and EMA 50 weekly TF (currently $9.1411).
But FTT is high-risk and extremely manipulative. Suffice it to remember how at the end of October 2023 we entered into a trade at $1.27, expecting an impulse. As a result, the stop order was knocked out, after which the price flew to $6. There was an impulse, but not for us 😁.
Let's watch the asset, maybe we'll buy it again, but this time for as much as we don't mind and without a stop. With a take in the EMA 50 weekly TF area. The likelihood of growth is visible. But this may already be the asset’s “swan song”. Fundamentally, he has no prospects.
