FTX redeems $28M in SOL tokens, continuing monthly transfers vital to its $16.5B repayment plan.
Court approves FTX’s $16.5B plan, with 98% of creditors set to receive cash repayments in 2024-2025.
Former Alameda CEO Caroline Ellison and other FTX executives face prison time amid asset recovery efforts.
FTX has redeemed 178,631 SOL tokens for $28 million as part of its continuous effort to repay creditors. The redeemed tokens are expected to be moved to major exchanges including Coinbase and Binance.
https://twitter.com/WuBlockchain/status/1846056016183746801
This move is part of FTX's broader plan of selling assets following bankruptcy in order to compensate those affected by the company's collapse.
SOL Movements and Asset Recovery
FTX has established a pattern of redeeming SOL tokens each month, typically between the 12th and 15th. In the most recent transaction, it transferred over 170,000 SOL.
These payments are vital to FTX's efforts to repay its creditors as the exchange continues with its liquidation plan.
Court-Approved Repayment Plan
Recently, U.S. Bankruptcy Judge John Dorsey approved its’s $16.5 billion repayment plan. The plan indicates that 98% of creditors will receive 119% of their approved claims in cash.
Smaller creditors are likely to receive payouts within 60 days, however larger claims may take until 2025 to be completely paid.
Executives of FTX and Alameda Sentenced
Recently, former FTX and Alameda Research executives have faced trial. The court sentenced Caroline Ellison, the former CEO of Alameda Research, to two years in prison for her role in the fraud. Prosecutors charged Ellison, along with other officials, with conspiracy and fraud for mishandling consumer payments. The court sentenced Sam Bankman-Fried, the former CEO, to 25 years in prison.
These measures, which include legal proceedings and asset liquidations, are part of the plan to resolve one of the largest bankruptcy cases in cryptocurrency history. Additionally, FTX expects to make the repayments soon, and analysts are waiting to see the effect they will have on the market.
The post FTX Redeems $28 Million in SOL as Repayment Plan Gains Momentum appeared first on Crypto News Land.
