Legal experts: FTX bankruptcy case may take years to resolve

PANews January 2 news, according to The Block, Alan R. Rosenberg, a partner at Markowitz Ringel Trusty & Hartog, said in an interview that the FTX bankruptcy case will drag on longer than other cryptocurrency bankruptcy cases such as Celsius and BlockFi, and may It will take years to resolve. That’s because FTX is filing multiple recovery claims or avoidance lawsuits in an attempt to recoup payments it made in the weeks and months leading up to bankruptcy. Rosenberg said resolving these matters is likely to take a long time, given that some of these transactions are very large and a lot of the money is being transferred to large organizations that are very capable of defending themselves. Rosenberg added that such claims are typically settled out of court and do not go to trial because settlement costs are usually lower. However, negotiating a solution also takes time. Furthermore, one of the key issues in such litigation is how to calculate the time value of cryptocurrencies, and there is currently no clear case law on how cryptocurrencies are valued in avoidance litigation.