Million

<h4><strong><a href="https://www.altcoinbuzz.io/?s=FTX" target="_blank" rel="noopener noreferrer nofollow">FTX</a> has settled worth $228 million with crypto exchange Bybit. This ends a major lawsuit it filed in 2023 and moves FTX one step closer to paying back creditors.&nbsp;</strong></h4>
<p>The deal with Bybit, reached in October, allows FTX to recover $175 million in crypto assets from Bybit’s platform and sell $53 million in BIT tokens to Mirana Corp., Bybit’s investment arm. However, a court hearing slated for November 20 will finalize the arrangement.</p>
<h5><strong>Background of the suit</strong></h5>
<p>In November 2023, FTX <a href="https://www.bloomberglaw.com/public/desktop/document/FTXTradingLtdDocketNo122bk11068BankrDDelNov112022CourtDocket/44?doc_id=XQBV3HMT2F8HUOV83OJGH6MMG5" target="_blank" rel="noopener noreferrer nofollow">filed</a> a suit accusing Bybit of using “VIP” access to withdraw about $327 million in funds right before its collapse in 2022.</p>
<p>FTX claimed that Bybit leveraged its close connections with its (FTX) executives, granting it early access. However, the FTX team labeled it unfair and damaging to other creditors.</p>
<figure id="attachment_154105" aria-describedby="caption-attachment-154105" style="width: 100%" class="wp-caption alignnone"><img fetchpriority="high" decoding="async" class="wp-image-154105 size-full" src="https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit.webp" alt="" width="1244" height="1392" srcset="https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit.webp 1244w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-268x300.webp 268w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-915x1024.webp 915w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-768x859.webp 768w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-375x420.webp 375w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-696x779.webp 696w, https://www.altcoinbuzz.io/wp-content/uploads/2024/10/FT-and-Bybit-1068x1195.webp 1068w" sizes="(max-width: 1244px) 100vw, 1244px">
 <figcaption id="caption-attachment-154105" class="wp-caption-text">
  Source: <a href="https://www.bloomberglaw.com/public/desktop/document/FTXTradingLtdDocketNo122bk11068BankrDDelNov112022CourtDocket/44?doc_id=XQBV3HMT2F8HUOV83OJGH6MMG5" target="_blank" rel="noopener noreferrer nofollow">X</a>
 </figcaption>
</figure>
<p>FTX restructuring specialist John J. Ray III has focused on ensuring creditors get their assets. Under the settlement terms, some Bybit users who moved funds before the collapse can keep 75% of their account balances. This approach also helps FTX avoid further legal claims from those involved, allowing the company to save on potential costs and additional delays.</p>
<p>The settlement with Bybit aligns with FTX’s <a href="https://www.altcoinbuzz.io/cryptocurrency-news/ftx-to-begin-16b-repayment-to-creditors-in-q4-2024/" target="_blank" rel="noopener noreferrer nofollow">reorganization plan</a>, which recently received court approval. The goal is to distribute over $12.6 billion in assets back to customers and creditors as part of FTX’s efforts to resolve its bankruptcy as smoothly as possible.</p>
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<h6><strong>Disclaimer</strong></h6>
<p>The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.</p>
<p>The post <a href="https://www.altcoinbuzz.io/cryptocurrency-news/ftx-settles-228-million-lawsuit-with-bybit-exchange/" rel="noopener noreferrer nofollow">FTX Settles $228 Million Lawsuit with Bybit Exchange</a> appeared first on <a href="https://www.altcoinbuzz.io" rel="noopener noreferrer nofollow">Altcoin Buzz</a>.</p>

FTX Settles $228 Million Lawsuit with Bybit Exchange

Altcoin Buzz

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