FTX Cautions Against Unauthorized Bid Solicitations during Bankruptcy Proceedings

FTX Derivatives Exchange, in the process of resolving its bankruptcy and meeting its obligations to creditors, has issued a warning about unauthorized entities soliciting bids on its behalf. The exchange emphasizes its exclusive partnership with authorized investment manager, Galaxy Asset Management.

The warning, posted on social media platform X, states that Galaxy Asset Management is the only investment manager authorized by the bankruptcy court to handle offers and solicitations for bids. Non-authorized third parties attempting to engage in these activities are advised against doing so.

FTX has been actively restructuring in order to recover and repay its creditors. With the retrieval of assets worth up to $7 billion, FTX aims to fulfill its commitment to repay customers. The recent approval from the Supreme Bankruptcy Court to shift FTX’s over $1 billion stake in AI firm Anthropic is seen as a significant move that could ease FTX’s financial burden. If the stake sale is successful, it could complete the repayment of customer claims and creditor obligations.

FTX has been in discussions with various government agencies in preparation for repayment. An agreement has been reached to temporarily defer approximately $9 billion in claims by these agencies until customers have been fully refunded.