Bankrupt crypto exchange FTX continues to liquidate crypto assets supporting debt repayment plans. In this context, FTX announced repayments along with additional interest to creditors and customers. However, FTX creditors said they were unhappy with the repayment plan. In this regard, creditors stated that they requested crypto payments instead of USD. If FTX and Alameda want to convert their assets into cash, there may be huge sales.
Are FTX and Alameda gearing up for more sales?
cryptokoin.comAs you follow from , in April, crypto exchange FTX and its sister firm Alameda Research liquidated a significant portion of their crypto assets worth $98 million. As we know, FTX is divesting its Solana (SOL) assets to pay back its customers. There is a possibility that this sale from the cryptocurrency exchange will continue.
Tagged wallets associated with FTX and Alameda Research initiated liquidations totaling $97.35 million last month, according to data from blockchain analytics firm Arkham Intelligence. FTX holds $33.85 million worth of BOBA and $11.22 million worth of ETH. Additionally, FTX controls more than 78% of FTT supply. Pantera Capital, on the other hand, absorbed most of FTX’s Solana Holdings’ sales. Meanwhile, Alameda Research owns $140 million worth of WLD and $102 million worth of BIT. He also holds significant positions in various assets, including $93 million in BTC and $48 million in STG. Hence, there are enough possibilities for these two companies to divest their shares in the future.
Highlights of FTX and Alameda’s holdings
Top 10 tokens held by FTX by value
- FTT: $464.12 million.
- BOBA: $34.03 million.
- Tether Gold (XAUT): $9.69 million.
- EURT: $8.79 million.
- MEDIA: $8.16 million
- AMPL: $7.35 million.
- BIT: $6.83 million.
- ETH: $6.31 million.
- SRM: $4.49 million.
- USDC: $3.50 million
Top 10 tokens held by Alameda Research by value
- WLD: $139.25 million.
- BIT: $102.22 million.
- BTC: $93.83 million.
- STG: $48.90 million.
- AUSDT: $19.94 million.
- BOBA: $18.12 million.
- FTT: $16.20 million.
- YUSD: $11.66 million.
- VBTC: $6.36 million.
- ANKRETH: $6.26 million.
Increase in compensation demands and demands of creditors
Meanwhile, investor interest in FTX receivables has increased following the draft rescue plan, which calls for a 118% recovery rate for the majority of creditors. Louis Origny, Chief Technology Officer at FTXCreditor, which has already received more than 2,100 requests, predicts an increase in demand buying activity. Origny identified two factors contributing to this expectation. The first of these is that the statement refers to a potential 30% tax withholding rate for customers outside the USA, and this may prompt receivable holders to sell their receivables in the secondary market. The second is that not all receivable holders will be able to convert their USD checks into cash.
On the other hand, creditors also express their opposition to the repayment plan. The primary issue at hand is that the bankruptcy estate will halt the valuation of client crypto assets in November 2022. Also, this coincides with the bottom of a bear market. As a result, most FTX creditors are demanding their refunds back in crypto assets rather than USD. Crypto exchange FTX has not yet responded to this issue.
To be informed about the latest developments, follow ustwitter‘in,Facebookin andInstagramFollow on andTelegramAndYouTubeJoin our channel!
Statement from FTX and Alameda: These Altcoins Can Be Sold!