Posted on 11/15/2022 9:50:03 AM PST by Aquamarine
Beleaguered cryptocurrency exchange FTX may have more than 1 million creditors, according to a new bankruptcy filing, hinting at the huge impact of its collapse on crypto traders.
Last week, when it filed for Chapter 11 bankruptcy protection, FTX indicated that it had more than 100,000 creditors with claims in the case.
But in an updated filing Tuesday, lawyers for the company said: “In fact, there could be more than one million creditors in these Chapter 11 Cases.”
Typically in such cases, debtors are required to provide a list of the names and addresses of the top 20 unsecured creditors, the lawyers said. However, given the scale of its debts, the group instead intends to file a list of the 50 largest creditors on or before Friday.
Five new independent directors have been appointed at each of FTX’s main parent companies, according to the filing, including the former Delaware district judge, Joseph J. Farnan, who will serve as lead independent director.
Over the past 72 hours, FTX has been in contact with “dozens” of regulators in the U.S. and overseas, the company’s lawyers wrote. These include the U.S. Attorney’s Office, the Securities and Exchange Commission and the Commodity Futures Trading Commission.
(Excerpt) Read more at nbcnews.com ...
Over one million creditors? EGAD!
that’s a lot of stupid creditors ...
“There’s a sucker born every minute.”
Does the implosion of cryptocurrency move the Market to hard assets such as crude oil and metals?
Those creditors should immediately sue all politicians who took their money personally as well as office holders, and the DNC, RNC, and their executives.
What’s the difference between 1 creditor and 1 million creditors when you can never pay them back?
I smell bail out...TOO BIG TO FAIL...Hahaahahahah
Where’s the raid? Roger Stone, Michael Flynn, Steve Bannon, and Rudy Guliani were put through the wringer for far less.
Interesting thought.
Anyone that wants to try to see any of their money again needs to file a proof of claim. So all that money they they tried to hide from the govenrment is suddenly going to be visible to the IRS.
I bet the amount claimed is really going to shrink. What money launderer or tax evader is going to want to paint a target on his or her back?
This guy was a big dem supporter.
It’s broom time!
Hope they’re all Ds
There are 5 million creditors.
“Sam looks like a very honest person,” he said, “He doesn’t look like the type of guy that would do crazy stuff behind users’ backs.”
More people will transfer their holdings to physical wallets rather than keep them on the exchanges.
The exchanges will just act like... exchanges, and not like unregulated banks.
They need to claw back the donations to the DNC, after all they were made with illegal money.
Might break Trump’s record
The FBI doesn’t have time to investigate, they’re still focused on Jan 6.
Guess stealing money itself has a low impact on the environment (until one factors having to re-earn it).
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