Breaking: Bankrupt FTX Exchange Begins Token Transfers
Bankrupt digital currency trading platform, FTX Derivatives Exchange is reportedly making transfers of its tokens in what has stirred a new level of intrigue in the broader crypto ecosystem.
FTX and Fund Transfers
The trading platform is still in the process of settling its creditors and these observed token transfers have cast a series of theories about what the core intention of the transfers might be. According to earlier reports, FTX has agreed to adopt the expertise of Mike Novogratz’s Galaxy Digital to handle the tokens still associated with the brand.
One of the topmost schools of thought is whether or not these ongoing transfers are to an account controlled by Galaxy Digital or its associated wallets respectively.
According to a screenshot of the transfer requests flying around on social media, the firm has moved tokens ranging from Chainlink (LINK) to MATH tokens and its native token FTT all of which are resident on the Wormhole Bridge. Some of the FTX token transfers have also transverse other chains or networks but with Wormhole posing as the dominant channel to move the funds.
Considering the history of the trading platform as it relates to token movements, there is also a group of free thinkers who believe these fund movements are suspicious and might be from an unknown actor. This school of thought is notably almost discredited seeing that the trading platform has not come out to denounce any form of unauthorized transfers from its associated wallet addresses.
Is FTX Ready to Refund Creditors
FTX has been in its bankruptcy process since November last year, making this the 9th month of uncertainty for almost all of its creditors.
The FTX Exchange has had a series of upheavals that appear to have fueled the retrogression in its attempt to quickly resolve and refund its customers whose funds were locked when it halted withdrawals. One of these challenges is the recent hack of its restructuring partner Kroll with tons of its creditors’ data exposed.
As a result of the exploit, FTX had to halt users from interacting with its claims portal, further elongating the timeline for the recovery being highly anticipated by FTX customers.
- Crypto Stakeholders Push Back as Banks Seek Yield Ban Provision in CLARITY Act
- Crypto ETFs Approval Faces Uncertainty as Government Shutdown Looms, Bloomberg Analyst Says
- Fed’s Hammack Backs Restrictive Policy Over Rate Cuts Amid Inflation Concerns
- Fed Governor Chris Waller Champions Stablecoins as a Tool for Cheaper Global Payments
- LBank Celebrates 10 Years With Bold Achievements and Global Expansion
- Dogecoin Price Prediction – Chart Set-Up Highlights Perfect Buying Opportunity With Outflows Backing $0.45
- Bitcoin Price Set to Rebound Ahead of US Government Shutdown, NFP Data
- XRP Price Prediction: How XRP Could React After October 2025 SEC ETF Decisions
- Aster Price Prediction as US President Adds $110M Worth of Tokens to His Portfolio
- Pepe Coin Price Bounce Likely as Support Zone Aligns With Rising Social Activity
- Solana Price Set for Recovery Amid Wyckoff Accumulation and Canary Capital ETF Filing
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
