As the year ends, developments are emerging from the fallout of the FTX collapse, which was previously led by Sam Bankman-Fried.
After a long wait, customers affected by the exchange’s downfall may soon receive their payouts.
Market analyst MartyParty noted recent progress, highlighting evidence from affected FTX users. One user shared on social media that they withdrew most of their assets before the bankruptcy, with only a small amount remaining. They received an email about tax requirements, indicating payouts are imminent, and expressed plans to reinvest their $289 in Bitcoin.
This suggests a trend where many creditors might reinvest their returns into cryptocurrencies. Researcher Xremlin previously stated that a significant portion of the $16 billion earmarked for distribution could flow back into the crypto market, potentially driving growth.
The cash comes from FTX’s settlements with U.S. agencies, involving liquidated assets from misused customer funds, including crypto and real estate investments. Analyst Miles Deutscher believes these upcoming payouts could enhance market liquidity, unlike previous cash drains from events like Mt. Gox.
MartyParty is optimistic, expecting the $16 billion distribution, set to begin in two weeks, to revitalize the crypto market by bringing substantial liquidity back into the ecosystem.
FTX creditors in the Eurozone will receive repayments in euros based on 2022 closure prices, plus processing fees of up to 30%.
Anatoly Yakovenko, CEO and co-founder of Solana, has been openly critical of the Biden administration, particularly regarding its failure to foster job creation.
Mark Cuban, the billionaire entrepreneur, expressed concerns about SEC Chairman Gary Gensler’s regulatory approach, claiming it could have prevented the collapses of FTX and Three Arrows Capital (3AC).
A class action lawsuit against Nvidia, alleging that the company deceived investors regarding the impact of crypto mining on its revenues in 2017-2018, is seeking to move forward in the U.S. Supreme Court.