Massive SOL Stake Revealed in FTX Bankruptcy Proceedings
Blockchain records have uncovered a significant development in the bankruptcy proceedings of the now-defunct exchange FTX. The trustees overseeing the process have committed 5.5 million solana (SOL) for staking. The total market value of FTX’s solana assets is $1.16 billion. However, a large portion of these assets will remain locked up until 2028.
Blockchain Reveals FTX Trustees’ SOL Staking
A recent report by Whale Alert on October 13 highlighted a transfer of 5.5 million SOL. Onchain researcher Ashpool identified that this substantial amount belonged to the FTX estate and was directed towards the validator Figment for staking purposes.
The Potential Rewards of SOL Staking
The outcome of SOL staking can vary, with sources suggesting annual percentage yields (APY) ranging from 5.5% to as much as 14.47%, depending on the chosen staking platform. Rewards are distributed approximately every 2-3 days, but this frequency may change based on network conditions.
FTX’s Locked Up SOL Assets
FTX’s estate holds around $1.16 billion in SOL, but not all of it is immediately accessible. A portion of the assets, consisting of 12 million SOL, will be released in increments every 30 days until 2027. An additional 34.52 million SOL will gradually unlock each month until 2028. FTX has the option to sell or stake the monthly disbursed SOL or sell the keys to the entire vested cache before its official release.
Hot Take: Trustees’ Massive SOL Stake Raises Questions
The revelation of FTX trustees committing a significant amount of SOL for staking while overseeing the exchange’s bankruptcy proceedings raises questions about their decision-making and potential conflicts of interest. With the locked-up assets not fully accessible until 2028, it remains to be seen how this staking strategy will impact the overall bankruptcy proceedings and the distribution of funds to creditors. The involvement of blockchain technology in uncovering this stake highlights the transparency and accountability it brings to financial transactions.
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