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- 1 FTX restructuring plans do not aim to ‘reboot’ the exchange, says the FTX attorney.
- 2 After an exhaustive effort, “there was no plan to restart the exchange dubbed as FTX 2.0 in its ongoing bankruptcy plan.
- 3 When written, the token was trading at $1.98, with a decline of 25.90% in market capitalization.
The collapse of centralized cryptocurrency FTX attorney said its restructuring plan did not aim to ‘reboot’ the firm. Instead, the customers’ funds stuck with the exchange will be fully refunded.
Andy Dietderich, the attorney of FTX, said that the exchange could “cautiously predict” fully repaying users and creditors. However, he added this was “an objective,” not a “guarantee.”
FTX’s attorney further says that “after an exhaustive effort, “there was no plan to restart the exchange dubbed as FTX 2.0 in its ongoing bankruptcy plan.
The defending attorney of FTX says, “Based on our results to date and current projections, we anticipate filing a disclosure statement in February describing how customers and general unsecured creditors with allowed claims will eventually be paid in full.”
“No investor is ready to commit the needed capital to a restart of the offshore exchange, nor has a buyer emerged for that exchange as a going concern,” said Andy.
Following the unprecedented collapse of FTX, the entire crypto market went into a massive shock, and dozens of market observers claimed that hundreds of Millions went out of the market in just a few hours.
It is also claimed that after the bankruptcy of FTX, several other firms in the crypto industry went bankrupt as they had a profound financial relationship with the firm of Sam Bankman Fried.
Before its demise, the firm was among the leading centralized cryptocurrency exchanges in the market, but suddenly, the situation got just the opposite, and it filed for bankruptcy. The event is still among the most destructive events in the crypto market.
FTT Token and Crypto Market Analysis
The token of FTX, FTT, slipped significantly in the past 24 hours and lost 25.98% of its price. The analyst of the market predicts that the decline is fully backed by the statement of not rebooting the bankrupt crypto exchange.
When writing, the token was trading at $1.98 with a decline of 25.90% in market capitalization, but it is crucial to note that the trading volume of the token grew over 1100%, making it the 34th most traded token in the market.
As per available data on CoinMarketCap, the trading volume of FTT tokens grew on Binance and Gate.io, and the pairs traded on both exchanges are FTT/USDT. In the decentralized exchange category, SushiSwap became the leader, contributing to the surge in the trading volume of FTT tokens.
The market capitalization of the entire crypto market grew 3.45% weekly, but in the past 24 hours, a slight decline of 1.35% was observed.
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Steefan George is a crypto and blockchain enthusiast, with a remarkable grasp on market and technology. Having a graduate degree in computer science and an MBA in BFSI, he is an excellent technology writer at The Coin Republic. He is passionate about getting a billion of the human population onto Web3. His principle is to write like “explaining to a 6-year old”, so that a layman can learn the potential of, and get benefitted from this revolutionary technology.
