Nearly $700 million of the $873 million trust assets allowed to be sold by FTX comes from Grayscale’s flagship product, the Grayscale Bitcoin Trust.
Bankrupt crypto exchange FTX has been given the green light to sell around $873 million of trust assets, with proceeds used to repay creditors impacted by the exchange’s collapse in 2022, according to a Nov.
The $873 million in assets will be sourced from FTX’s stakes in various trusts issued by crypto asset manager Grayscale Investments, valued at $807 million, and custody service provider Bitwise, valued at $66 million.
While the court document references a total of $744 million in assets, this is due to the valuation figure being as of Oct.
The approval comes nearly four weeks after FTX debtors filed a motion to Judge John Dorsey on Nov.
FTX currently owns over 22 million units of GBTC, Grayscale’s flagship Bitcoin product, now worth $691 million, while its 6.3 million shares of ETHE are now worth around $106 million.
Grayscale’s Ethereum Classic Trust, Litecoin Trust and Digital Large Cap Trust are the three other trusts that FTX can now sell to recoup funds for impacted FTX customers.
FTX’s administrators, headed by John.
So far, around $7 billion in assets has been recovered, with nearly half coming from cryptocurrencies ($3.4 billion).
In June, FTX’s debtors estimated the total amount of customer assets misappropriated was $8.7 billion.
