FTX Scandal News: Legal Battle With Bybit End In $228M Settlement

28-10-2024

FTX Scandal Update: Bybit Settlement Boosts Creditor Repayment Plan

FTX Scandal has reached a substantial settlement with Bybit, its executives, and Mirana, investment arm, putting an end to the ongoing lawsuit between the two.

The agreement details reveal that this settlement enables FTX bankruptcy estate to recover approximately $228 million, a major step toward repaying creditors.

After months of negotiations, both parties finalized the agreement, with filing the terms in court last Thursday.

Recovery Plan: $175 Million in Crypto and 105 Million BIT Tokens

Under the settlement, liquidation estate will recover $175 million in cryptocurrency from accounts held on the Bybit platform. Additionally, will sell over 105 million BIT tokens from Mirana, worth an estimated $52.7 million. This recovery plan significantly strengthens financial position as it continues its bankruptcy reorganization efforts.

Partial Fund Reclaim for Bybit Users

One key aspect of the settlement allows users who withdrew funds before 2022 collapse to reclaim 75% of their account balances as of the bankruptcy filing date. This provision offers some relief to affected customers, helping to soften the impact of the platform’s on individual users. According to filing, the settlement nearly fulfills its original claims, reinforcing ability to proceed with debt repayments.

Background of the Lawsuit: FTX’s Allegations Against Bybit

filed the lawsuit in November 2022, accusing of misusing its “VIP” access to by withdrawing substantial funds and digital assets in anticipation of impending collapse. The FTX scandal includes claims that actions restricted estate from withdrawing assets on the Bybit platform, further complicating liquidity crisis.

Reorganization and Future Steps

Led by CEO and bankruptcy expert John J. Ray III, has focused on restructuring its financial obligations to maximize creditor payouts. Recently, the company announced that 94% of creditors voted in favor of its reorganization plan, which has since received approval from the Delaware Bankruptcy Court. This plan is set to repay 98% of creditors at least 118% of their claim values in cash, signifying substantial progress in wind-down process.

If you don’t want to deal with complicated bureaucracy and need your money back immediately, sell your FTX claim to a trusted agent such as Paxtibi.

Conclusion

The settlement provides immediate capital and marks a major milestone in bankruptcy recovery plan.

For those interested in how to withdraw USDT from to a bank account or exploring Bybit careers, the evolving landscape of cryptocurrency exchanges remains pivotal amid ongoing developments. Keep an eye on the hearing and the implications of the FTX Bybit $228M case for further updates in the industry.

Previous Next

About the Author Sakshi Jain

Expertise coingabbar.com

Sakshi Jain is a crypto journalist with over 3 years of experience in industry research, financial analysis, and content creation. She specializes in producing insightful blogs, in-depth news coverage, and SEO-optimized content. Passionate about bringing clarity and engagement to the fast-changing world of cryptocurrencies, Sakshi focuses on delivering accurate and timely insights. As a crypto journalist at Coin Gabbar, she researches and analyzes market trends, reports on the latest crypto developments and regulations, and crafts high-quality content on emerging blockchain technologies.

Leave a comment

Name

Comment

1 month ago

I have never felt such sheer panic as the day my laptop was stolen. Inside that laptop was access to $800,000 worth of Bitcoin I had collected over the years. I had big plans for my future, including investments, retirement, and even some charity work I wanted to support. In one reckless moment, all of that was potentially gone. I confided in my brother about what happened, and he told me he had heard about MUYERN TRUST HACKER from a podcast he listens to. At first, I was skeptical. How could anyone recover my wallet when I did not even have my laptop anymore? But I had nothing to lose, so I decided to reach out to them. From the moment I contacted MUYERN TRUST HACKER, on ( Whats App + 1, 4 4 0, 33, 50, 2 0 5 ) they turned out to be lifesavers. They were patient and understanding, walking me through their entire recovery process. They reassured me that there was still hope, even with my laptop gone. It was the first time since the theft that I felt a glimmer of hope. After a few days of anxious waiting, I received an email from them that changed everything. They had recovered my Bitcoin! The moment I saw my funds back in my account felt like I had been given a second chance at life. I could hardly believe my eyes. MUYERN TRUST HACKER turned what could have been a nightmare into a dream come true. I am incredibly grateful to them for helping me recover my Bitcoin and restore my faith in the future. mail at muyerntrusted ( @ ) ma il - me ( . ) c o m .