The restructuring team of the bankrupt cryptocurrency exchange FTX submitted a revised Chapter 11 reorganization plan to the U.S. Bankruptcy Court of Delaware yesterday (16th). In the new plan, in the face of customer asset claims, the FTX debtor will set the value The cash value will be estimated back to November 2022 when FTX files for bankruptcy . This decision may cause creditors to lose millions of dollars in potential gains.
Bitcoin has risen by 26,000 after bankruptcy filing
Cryptocurrency market prices have experienced significant gains since FTX filed for bankruptcy last year. Bitcoin prices were around $17,000 at the time of the bankruptcy filing, but have recently climbed to around $42,000. Ethereum prices have also risen from around $1,000 to $2,200. On the other hand, the overall market value of cryptocurrency has also increased from approximately US$856 billion to US$1.6 trillion today, so if this plan is approved, all creditors may face losses.
Community: Cryptocurrency belongs to the customer!
In response, Sunil, a KOL who actively followed FTX’s restructuring, was angry and said that the restructuring plan violated FTX’s terms of service. This clause clearly states that the ownership of digital assets belongs to the customer and not the exchange. Kavuri said:
There is no doubt that SBF was found guilty on all seven counts of stealing digital assets belonging to FTX clients.
Certain creditors will have the opportunity to vote on this new proposal in the future. The FTX restructuring team mentioned in a statement that they have put in a lot of effort to achieve this plan. Their goal is to ensure that this plan is fair to all creditors and stakeholders affected by this Chapter 11 bankruptcy and is the most economically advantageous solution.
For this plan to be effective, it requires the approval of a certain number and amount of creditors. However, there is a situation called "enforcement". Even if some creditors do not agree with the plan, they may have to accept it as long as the plan is considered fair and reasonable.
