FTX Says $415M Cryptocurrency Was Hacked After It Filed for Bankruptcy

Bankrupt crypto exchange FTX said in a report to creditors on Tuesday that about $415 million in crypto was stolen in a hack.

About $323 million in cryptocurrency has been hacked from international exchange FTX, and $90 million has been hacked from its US exchange since it filed for bankruptcy on Nov. 11, CEO John Ray said in a separate statement on Tuesday.

FTX founder Sam Bankman-Fried has been accused of stealing billions of dollars from FTX clients to pay off the debts of his cryptocurrency-focused hedge fund Alameda Research. Bankman-Fried pleaded not guilty to fraud.

Last week, FTX told a Delaware bankruptcy judge that nine weeks after filing for bankruptcy, it had recovered more than $5 billion in crypto, cash and liquid securities.

The company provided additional details on Tuesday, saying it returned $1.7 billion in cash, $3.5 billion in liquid crypto and $300 million in liquid securities.

FTX did not provide an estimate of total liabilities, but said it has identified significant shortcomings on both its international and U.S. crypto exchanges.


Follow The Post about the Sam Bankman-Freed scandal on FTX


“We are making progress in our best recovery efforts and it has taken a Herculean investigative effort for our team to uncover this preliminary information,” Ray said in a statement.

Cryptocurrencies recovered to date include $685 million in Solana, $529 million in FTT FTX native token, and $268 million in bitcoin, based on cryptocurrency prices as of November 11, 2022. value in 2022.

During an initial investigation into the breaches of its system, FTX discovered a November asset forfeiture by the Bahamas Securities Commission, leading to a dispute between FTX’s US-based bankruptcy team and Bahamian regulators.

The two sides settled their differences in January, and Ray said Tuesday that the Bahamas government is holding back $426 million for creditors.

Bahamas Prime Minister Philip Davis referred to the controversy during an event Tuesday at the Atlantic Council in Washington, saying that Ray’s team had “come to their senses” and acknowledged that the forfeiture of Bahamian assets “was appropriate and may have saved the day for many investors.” in FTX.

Content Source

Dallas Press News – Latest News:
Dallas Local News || Fort Worth Local News | Texas State News || Crime and Safety News || National news || Business News || Health News

texasstandard.news contributed to this report.

Related Articles

Back to top button