CoinShares, a prominent European digital asset investment firm, has successfully completed the sale of its claim against the bankrupt cryptocurrency exchange FTX, securing a total of $39.78 million. This transaction, subject to legal approval, represents a significant financial victory for CoinShares, resulting in a recovery rate of 116% after accounting for broker fees. Originally valued at $33.78 million, the company’s claim has now increased to nearly $40 million.
In response to this milestone, CoinShares CEO Jean-Marie Mognetti expressed his satisfaction with the outcome, attributing the successful recovery to the diligence and expertise of the CoinShares team. Mognetti highlighted the sale’s importance for the company’s future growth and market positioning, emphasizing a commitment to rewarding shareholders and driving innovation in the digital asset industry.
The influx of funds is expected to have a positive impact on CoinShares’ operations, enhancing shareholder returns and expanding service offerings. The company plans to reinvest in growth opportunities to solidify its presence in the competitive digital asset market.
While CoinShares celebrates its successful claim sale, the broader FTX bankruptcy saga continues to unfold. In May 2024, FTX proposed a reorganization plan to compensate creditors, offering hope for a resolution after 17 months of uncertainty. The plan aims to recover 118% of creditors’ original claims, with full repayment to non-governmental creditors and a 9% interest rate calculated from the bankruptcy filing date.
However, the proposed reorganization plan has faced backlash from creditors who argue that the 9% interest rate does not adequately compensate for the assets lost. Some creditors have challenged the plan in court, raising concerns about recovery figures and the plan’s failure to consider cryptocurrency appreciation since the bankruptcy filing.
Despite initial concerns about an $8 billion shortfall in FTX’s finances, progress has been made in asset recovery efforts. The recent acquisition of FTX’s Japanese unit by local crypto exchange Bitflyer is a notable step towards increasing the pool of recoverable assets.
As CoinShares looks towards a future of growth and innovation, the resolution of the FTX situation marks a significant milestone in the company’s journey. Stay updated with the latest news by following us on Google News.
