Defunct FTX and Alameda Research Crypto Wallets Transfer $38.8M Amid Restructuring Plans
Summary:
FTX exchange and Alameda Research, both now defunct, have transferred over $38.8 million in cryptocurrencies to various exchanges since January 2024. Blockchain analytics firm PeckShield reports these movements occurred amid FTX's restructuring plans, which do not include a revival of the exchange but prioritize the repayment of customer funds.
Crypto wallets associated with the now-defunct FTX exchange and related entity Alameda Research have reportedly transferred over $38.8 million in digital currency to various crypto exchanges since January 2024, as revealed by blockchain analytics firm PeckShield. In February alone, wallets tied to both entities transferred a minimum of $7 million to exchanges. Specifically, the wallet addresses shifted $2.6 million in Ether (ETH) to Coinbase along with $1.1 million in Ton (TON) and Fantom (FTM) to FalconX and Wintermute on February 4. Further transfers totaling $3.3 million in a variety of assets to Coinbase, Coinbase Prime, FalconX, and Binance occurred on February 6.
In January, wallets associated with FTX and Alameda transferred at least $35 million to exchanges. For instance, they moved $4.1 million in Cronos (CRO) to Coinbase on January 4, followed by another transfer of $2.4 million in ETH to the same exchange and a transfer of 200 Wrapped BTC (WBTC)—equivalent to $9 million—to Binance on January 9. Towards the end of January, FTX and Alameda moved an additional $16.3 million to multiple exchanges. On January 17, wallet addresses linked to the entities transferred $8.9 million in Tether Gold (XAUT) to Coinbase and $2.6 million in ETH to Wintermute. The final significant move in January occurred on the 30th, with these wallets transferring $2.3 million in ETH to Coinbase, $1.3 million in assorted altcoins to Binance, and $1.28 million to GSR Markets.
These transfers took place during FTX's restructuring period, with the exchange planning to repay its customers in full. At a U.S. court hearing on January 31, it was stated that FTX's restructuring strategies would exclude a relaunch of the exchange and prioritize full compensation for customers. However, FTX's lawyer, Andy Dietderich, noted that customer repayment, though a goal, is not a guaranteed outcome. Subsequent criticism challenged the restructuring scheme, emphasizing the legal team's profiteering from the situation. On February 4, former U.S. Securities and Exchange Commission (SEC) officer John Reed Stark lambasted the restructuring plan, dubbing it a "highway robbery of highway robbers".
Published At
2/6/2024 12:04:00 PM
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