Tag: FTX

Binance, Coinbase navigate challenges; FTX drama takes turn

Hong Kong, Australia, and Venezuela took center stage as regulatory actions rocked the scene. Meanwhile, Sam Bankman-Fried’s parents face lawsuits while Binance and Coinbase navigate challenges.  Hong Kong ramps up efforts During the Shanghai Blockchain International Week, Duncan Chiu, a member of Hong Kong’s Legislative Council, announced the forthcoming implementation of stablecoin regulations in Hong Kong by mid-2024. This endeavor stands in stark contrast to China’s rigorous cryptocurrency policies.  Authorities in Hong Kong previously apprehended 11 individuals linked to a cryptocurrency fraud case associated with the JPEX platform. This decisive…

FTX CEO’s Asset Recovery Escalates As Sam Bankman-Fried Trial Looms

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In a battle to recover billions of dollars following the collapse of FTX, Chief Executive and Restructuring Officer John J. Ray III, is intensifying efforts just weeks before FTX founder Sam Bankman-Fried faces trial in what has been labeled one of the largest financial frauds in American history. Bankruptcy court proceedings kicked off the week as FTX filed a lawsuit against Bankman-Fried’s parents, Allan Joseph Bankman and Barbara Fried.  The suit aims to reclaim millions of dollars allegedly fraudulently transferred and misappropriated by the couple, who purportedly took advantage of…

Coinbase sought FTX Europe acquisition after bankruptcy: Report

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Crypto exchange Coinbase attempted to acquire FTX Europe twice since it filed for bankruptcy in November 2022, hoping to broaden its derivatives business overseas. The company, however, has decided not to go forward with the deal, Cointelegraph has learned.  According to a report from Fortune, Coinbase explored acquiring FTX’s European arm on two occasions, in November 2022 — following its parent company’s dramatic debacle — and in September 2023. A spokesperson for Coinbase confirmed the report: “We’re always evaluating opportunities to strategically expand our business and meet with many teams…

Coinbase (COIN) Has Recently Held Talks to Buy FTX Europe: Fortune

Derivatives, which are financial contracts that derive their value from an underlying asset such as bitcoin (BTC), can be lucrative for both traders and the exchanges that serve them. FTX Europe, like other European exchanges, offered a range of derivatives products, but it also was the only firm with a license to offer perpetual futures, a highly popular derivatives offering, in that region. It’s those licenses that have attracted attention from several potential buyers, according to Fortune. Crypto exchange Crypto.com and Trek Labs have also expressed interest in FTX Europe,…

Coinbase Explores FTX Acquisition and Derivatives License

Until FTX collapsed in November, FTX Europe was the only firm offering special crypto derivatives (perpetual futures) to the European market. Reports have emerged that Coinbase considered acquiring FTX Europe after the exchange’s bankruptcy in November. While the acquisition talks were not successful, Coinbase’s interest in FTX Europe underlines how important derivatives have become to Coinbase’s global strategy. Whereas spot trading volumes have dipped significantly, there is a greater demand for derivatives. Data from crypto analytics firm Kaiko Research showed that derivatives volume was six times larger than spot volume…

Bankrupt FTX Exchange Turns Its Attention To Employees, Here’s How Much It Wants

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It’s been almost a year since the collapse of FTX, but the failed crypto exchange continues to be surrounded by drama. In a flurry of moves to claw back funds for investors, FTX lawyers are now going after employees of Salameda Ltd.  According to court filings, the employees of Salameda – a Hong Kong-incorporated entity allegedly controlled by former FTX CEO Bankman-Fried, named as defendants were prioritized over other customers as many raced to withdraw their assets from the exchange before its imminent crash on November 11, 2022.  FTX Wants…

FTX Sues Ex-Employees of Salameda as It Seeks to Recover $157M

The defendants allegedly used their connections on the inside to ensure that their withdrawals were prioritized over those of other customers. Bankrupt crypto exchange FTX has sued former employees of its Hong Kong-based affiliate Salameda in hopes of recovering $157.3 million. According to a Thursday filing, Salameda was being controlled by the firm’s ex-CEO, Sam Bankman-Fried. New Filing against Ex-Employees of Salameda Reveals ‘Shady’ FTX Withdrawals The filing claims that 5 individuals and two companies are behind several withdrawals that took place in the days leading up to FTX’s bankruptcy.…

FTX opens lawsuit against former employees of Hong Kong affiliate

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Defunct cryptocurrency exchange FTX filed a lawsuit on Sept. 21 against former employees of the Hong Kong-incorporated company Salameda, which was previously affiliated with the FTX group, according to court documents. The court filing says FTX seeks to recover $157.3 million that it claims was fraudulently withdrawn in the hours before the exchange filed for bankruptcy. According to the filing, Michael Burgess, Matthew Burgess and their mother, Lesley Burgess, as well as Kevin Nguyen and Darren Wong, along with two other companies, allegedly held ownership of companies with registered accounts…

Investors buy $250M of FTX claims — Report

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The bankruptcy claims market has been growing bullish on the debts of the collapsed cryptocurrency exchange FTX as major credit investors have been rushing to buy FTX debts. Investors like Silver Point Capital, Diameter Capital Partners and Attestor Capital have purchased more than $250 million worth of FTX debts so far in 2023, Bloomberg reported on Sept. 21, citing an in-house analysis of public court filings. The FTX debt has also attracted investors like Hudson Bay Capital Management, which reportedly bought a $23 million FTX claim and subsequently sold about…