FTX Opens Claim Window, Customers Express Outrage Over Low Crypto Asset Prices
Fallen crypto exchange FTX has opened its claim window for creditors to retrieve their crypto assets. However, the exchange has faced criticism on social media from users who have blasted FTX for pricing major crypto assets significantly lower than their market values.
Customer Outrage
At the time of writing, BTC is currently trading at $66,660, with ETH at $3588.88, SOL at $129.93, and BNB at $415.10. Social media users affected by FTXโs bankruptcy expressed outrage at the low prices. One user said, โStealing wealth with the approval of the law. I hope a proper lawsuit will be set up for victims of this scam.โ
PwC and Galaxy Asset Management
PwC Partners, the court-appointed liquidators for FTX assets, released an official statement on their website addressing the situation. FTX Digital Markets is undergoing a Chapter 11 settlement with FTX Trading and related debtors. PwC has informed creditors to submit electronic claims by May 15 this year. A claims portal managed by PwC is anticipated to begin its initial interim distribution in late 2024 or early 2025, with all eligible claims denominated in U.S. dollars.
FTX has issued a precautionary statement regarding its authorized investment manager, cautioning against unauthorized third parties attempting to bid on behalf of FTX Debtors. FTX clarified that the sale of Digital Assets by FTX Debtors, as mandated by a bankruptcy court order, is solely under the jurisdiction of Galaxy Asset Management, the court-appointed investment manager.
In its inaugural monthly communication to stakeholders on X, FTX emphasized that only Galaxy Asset Management is authorized to handle selling offers or buying requests.
Hot Take: FTX Customers Demand Fair Valuation of Crypto Assets
FTXโs decision to price major crypto assets significantly below their market values has sparked outrage among customers. Many believe that this approach undervalues volatile cryptocurrencies that have appreciated in value since FTXโs bankruptcy filing in November 2022. As the claim window opens, customers are demanding a fair valuation of their crypto assets. It remains to be seen how FTX and PwC will address these concerns and ensure a transparent and equitable distribution process.
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