The collapsed exchange FTX and its debtors continue to take steps to improve their current financial situation. FTX debtors have requested approval for the sale of Grayscale and Bitwise Trust assets worth an estimated $744 million, according to the latest filing filed with the bankruptcy court in Delaware.
A few months ago, the judge approved the phased sale of FTX’s crypto assets worth approximately $3.4 billion. The company and its debtors are now asking for authority to sell the trust’s assets in a Nov. 3 filing submitted to the bankruptcy court. This is one of the steps taken by the company in the bankruptcy process to increase its liquidity.
According to the application, these sales or transfer transactions are necessary for FTX to convert its assets into cash in an appropriate time and efficient manner. In particular, since debtors will have the flexibility to sell these assets in more than one sale and to more than one buyer, they aim to minimize the costs and delays that would be caused by making separate requests for each sale.
“The proposal by debtors to sell or transfer Trust Assets will aid in preparing the properties for dollarized distributions to be made to debtors and will allow for faster action to sell the Trust Assets at an appropriate time. Additionally, under the Sales Procedures, since debtors will be able to sell the Trust Assets in one or more sales to one or more buyers, sales will reduce the cost and delay of filing a separate petition for each proposed sale.”