May 9, 2024 Grandpa checks in
Recently, there has been new progress in the bankruptcy case of FTX. According to the latest draft bankruptcy plan and disclosure statement submitted by the reorganization team, it is estimated that customers and digital asset loan creditors will recover 118% to 142% of the value of their claims on the petition date. In short, FTX has accumulated billions of dollars more than the customer funds lost in the collapse in November 2022. John Ray, the current CEO of FTX, said that this is an incredible result in any bankruptcy case. At present, creditors who have funds deposited in FTX are likely to get their principal back, and even FTT holders can get some funds allocated.
At the time of bankruptcy in 2022, the price of Sol tokens fell to as low as $12, and FTX was a major holder of Sol tokens. There is no doubt that according to the price at that time, FTX could not repay user funds by selling all tokens, and the liquidity was extremely poor, so it had to sell at a discount. Due to passive lock-up, various tokens held by FTX, including BTC, ETH, SOL, etc., experienced a wave of bull-bear conversions, and some prices rose 10 times. It was precisely because of the long-term value increase of encrypted assets that the principal of FTX's creditors was preserved.
From this we can also see the true meaning of long-term value investment in the B circle. A bankrupt liquidated company, thanks to the long-term growth of crypto assets, can actually pay creditors in full and give an annualized return of 9%, which is extremely rare. It can be seen that when we buy coins, if we choose properly, even if we buy at the high point of the bull market, there are opportunities to get out of the trap or even make a profit. If we choose the right time, we can greatly increase the chances of making money. It is said that making money in the B circle is actually very easy, long-term + value coins, if you want to make a lot of money, then add a good price.
In terms of market conditions, the current price may not be the best, but it is definitely attractive compared to the bull market that has not yet arrived. The overall rhythm of the current market is still not much different from the previous forecast version. There is a small bull market before the big bull market, and then a few months of volatile market conditions before the official start of the big bull market. Of course, if you want to see whether the price will continue to fall, I think it is highly likely. After all, market confidence and capital have cooled down, and it is normal for the price to drop due to insufficient liquidity, but we should not be obsessed with too low prices, and we can buy in when it is almost there.
Thank you for your attention and likes.
