FTX-related stablecoins on the move: $145M transferred to crypto exchanges

The NFT Unicorn f0424a4b-0af6-4c82-83f7-5be32f213015 FTX-related stablecoins on the move: $145M transferred to crypto exchanges Crypto News

Amid the multiple ongoing investigations, FTX continues to move funds. The addresses, related to the failed crypto exchange, reportedly transferred around $145 million in stablecoins to a range of operating platforms. 

As Lookonchain spotted on March 14, three wallets, associated with both FTX and its subsidiary, Alameda Research, have moved 69.64 million USDT and 75.94 million USDC. The Tether reserves have gone to custodial wallets on such platforms as Coinbase, Binance and Kraken. All funds in USDC were transferred to Coinbase custodial wallet.

Both FTX and Alameda are in the process of recovering their assets as they face the demands to return the funds to different groups of investors. According to FTX attorney Andy Dietderich, already by January 2023, the troubled cryptocurrency exchange has recovered $5 billion in cash and liquid cryptocurrencies. However, its total liabilities exceed $8.8 billion.

Related: Crypto investment products see largest outflows on record amid SVB collapse

The latest update in the FTX bankruptcy case came as a new deal had been struck with a company owned by the government of Abu Dhabi. Alameda Research sold its remaining interest in venture capital firm Sequoia Capital to the Abu Dhabi sovereign wealth fund for $45 million.

In March, Alameda Research has filed suit against Grayscale Investments in the Court of Chancery in the State of Delaware. The suit seeks to “unlock $9 billion or more in value for shareholders of the Grayscale Bitcoin and Ethereum Trusts […] and realize over a quarter billion dollars in asset value for the FTX Debtors’ customers and creditors,” according to a statement.

As cases against FTX pile up, some plaintiffs requested the consolidation of lawsuits against the bankrupt exchange. However, on March 8, a judge denied the consolidation request, highlighting that the defendants have not yet been allowed to respond. U.S. District Judge Jacqueline Corley recently denied the request to consolidate five proposed class-action suits against FTX.