Cryptocurrency exchange FTX/Alameda recently transferred around $59 million in cryptocurrencies including SOL, ETH, LINK, MATIC, and others, as per data firm Lookonchain.
This comes after FTX got court approval to liquidate crypto holdings, allowing it to sell up to $100 million weekly to repay customers in USD and hedge volatility risks. The ruling also lets FTX earn passive income via staking of assets like Bitcoin and Ethereum.
The liquidation is largely supported by committees representing FTX’s US and international customers. Per Lookonchain, eight FTX/Alameda addresses currently hold about $619 million in crypto.
Separately, former FTX head Sam Bankman-Fried appeared in court to defend against charges of deceiving investors and misusing FTX customer funds. Bankman-Fried argued many actions were based on legal advice, emphasizing his trust in counsel for arrangements like obtaining bank accounts. However, prosecutors questioned his credibility, suggesting reliance on lawyers may be moot if they lacked full information.
The proceedings spotlight challenges crypto entrepreneurs face when navigating complex regulations. The outcome could have broader industry implications regarding the accountability of crypto exchange operators. As the market evolves, legal compliance remains vital for investor protection and stability.
