WEB3 news - Crypto, DeFi, NFT, Metaverse, Blockchain & Tax.’s Post

In a bold move, Alameda Research has initiated legal action against KuCoin Exchange to reclaim over $50 million in frozen assets. The lawsuit, filed in the US Bankruptcy Court for Delaware, highlights Alameda's efforts to recover funds that were worth $28 million at the time of FTX’s collapse in November 2022 but have since appreciated significantly. 📄 Court documents reveal that KuCoin has unjustifiably refused to return these assets, violating bankruptcy laws. Alameda asserts that these funds are crucial for repaying creditors, especially after recent successes, including a $228 million recovery from Bybit. With a judge approving FTX’s repayment plan aimed at compensating 98% of creditors, the stakes couldn’t be higher. The crypto community is left wondering what this legal battle will mean for the industry as it unfolds! 💼⚖️ #CryptoNews #AlamedaResearch #KuCoin #FTX #LegalBattle #Bankruptcy #CryptoAssets

The FTX estate has reached a tentative $228 million settlement with cryptocurrency exchange Bybit, as revealed in an Oct. 24 court filing. This agreement follows a lawsuit filed by the FTX estate in 2023, aimed at recovering funds to reimburse former customers and creditors. Pending court approval, the settlement allows FTX to withdraw $175 million in digital assets held on Bybit. Additionally, the estate will sell around $53 million in BIT tokens to Mirana Corp., Bybit's investment division. While FTX believes in the strength of its claims, attorneys noted that extended litigation could be costly and complex. “Plaintiffs’ claims are disputed and would require significant time and resources to litigate further,” they stated. A court hearing on Nov. 20, 2024, will determine if the settlement is finalized, marking another step in FTX’s protracted legal battle. This lawsuit against Bybit is part of a broader strategy by the FTX bankruptcy estate to recover assets lost in the exchange's collapse. Initially, FTX filed a $1 billion lawsuit against Bybit and Mirana, alleging that Bybit, through a “VIP” relationship with FTX executives, withdrew approximately $327 million in assets before the company's downfall. This settlement reflects FTX’s ongoing efforts to streamline its bankruptcy resolution and repay creditors. On Oct. 7, 2024, Judge John Dorsey approved FTX’s reorganization plan, which included the dismissal of a separate lawsuit against the law firm Sullivan & Cromwell, accused of complicity in FTX's fraudulent activities during its legal representation. . . . . #ftx #bybit #settlement #lawsuit #cryptoexchange #cryptostan #thecryptocountry

Disgraced crypto platform FTX has reached a settlement with the US Commodity Futures Trading Commission (CFTC), which will see the platform pay $12.7bn to resolve an ongoing lawsuit. The deal – subject to court approval – will pay $4bn in disgorgement fees. This type of penalty is a remedy that requires a company to give up profits it obtained from illegal or wrongful acts. Another $8.7bn will be paid in restitution fees. The CFTC will not seek a monetary penalty from FTX, which means the penalties will be used to pay back FTX creditors. The court filing says this proposed settlement is an “integral and valuable component” of FTX’s bankruptcy reorganisation plan. “It resolves ongoing litigation and disputes with one of the largest creditors of the [FTX], avoids the cost and delay of further litigation, and mitigates a significant risk of diminution of the assets available for distribution to creditors,” the filing states. https://lnkd.in/eUfnjMfQ

Syed Rahman wrote about the issues that still need addressing at FTX now that the crypto exchange’s founder Sam Bankman-Fried has been jailed for fraud. In his piece, which features on the CFAAR blog, Syed considers the plans for FTX customers to recover most of their funds, how the value of the assets held by FTX has risen and whether the Internal Revenue Service’s claims against FTX will take priority. He also outlines customer dissatisfaction with how complicated it is to submit claims through FTX’s bankruptcy administrators. The piece is on the CFAAR website. https://buff.ly/3TVzvN4 #ftx #crypo #sambankmanfried #legal #law #lawfirm

By next Thursday, August 16, creditors must vote on whether to approve the Chapter 11 liquidation plan of FTX, the once high-flying cryptocurrency exchange. FTX’s former CEO, Sam Bankman-Fried aka SBF—the son of two Stanford law professors, who went on to become one of the world’s youngest billionaires—is behind bars. He’s in the process of appealing his convictions for fraud, conspiracy, and money laundering, as well as his 25-year prison sentence. Ryne Miller 🇺🇸 served as general counsel of FTX US, one of several corporate entities that was part of the sprawling FTX empire. Working out of New York, he was not part of SBF’s high-living, Bahamas-based inner circle. But after a fateful phone call in November 2022 from SBF’s father, Joe Bankman, informing Ryne of a multibillion-dollar “liquidity hole”—some $8 billion to $10 billion in FTX customer deposits that had somehow gone missing—he played a crucial role in responding to the situation. By the end of that week, FTX was in bankruptcy. Why did Ryne leave a partnership at Sullivan & Cromwell LLP, one of the world’s leading law firms, to become the GC of FTX US? Should he have noticed certain red flags at the company, such as the lack of a board or a weak compliance function? What lessons does he draw from his time at the company? And how is he putting them to work today at his new law firm, Miller Strategic Partners LLP, which marks its one-year anniversary next month? Ryne and I covered all this and more, in the latest edition of the Original Jurisdiction podcast. Thanks to Ryne for joining me, and thanks to NexFirm for sponsoring! https://bit.ly/3T3uHWD #podcast #podcasts #podcasting #law #lawyer #lawyers #attorney #attorneys #legalcareer #legalcareers #regulation #regulatorylaw #finance #crypto #cryptocurrency #FTX #bankruptcy #bankruptcylaw #digitalasset #digitalassets #Bitcoin

Sharing the link to my discussion with David Lat and his Original Jurisdiction podcast, for those interested.

By next Thursday, August 16, creditors must vote on whether to approve the Chapter 11 liquidation plan of FTX, the once high-flying cryptocurrency exchange. FTX’s former CEO, Sam Bankman-Fried aka SBF—the son of two Stanford law professors, who went on to become one of the world’s youngest billionaires—is behind bars. He’s in the process of appealing his convictions for fraud, conspiracy, and money laundering, as well as his 25-year prison sentence. Ryne Miller 🇺🇸 served as general counsel of FTX US, one of several corporate entities that was part of the sprawling FTX empire. Working out of New York, he was not part of SBF’s high-living, Bahamas-based inner circle. But after a fateful phone call in November 2022 from SBF’s father, Joe Bankman, informing Ryne of a multibillion-dollar “liquidity hole”—some $8 billion to $10 billion in FTX customer deposits that had somehow gone missing—he played a crucial role in responding to the situation. By the end of that week, FTX was in bankruptcy. Why did Ryne leave a partnership at Sullivan & Cromwell LLP, one of the world’s leading law firms, to become the GC of FTX US? Should he have noticed certain red flags at the company, such as the lack of a board or a weak compliance function? What lessons does he draw from his time at the company? And how is he putting them to work today at his new law firm, Miller Strategic Partners LLP, which marks its one-year anniversary next month? Ryne and I covered all this and more, in the latest edition of the Original Jurisdiction podcast. Thanks to Ryne for joining me, and thanks to NexFirm for sponsoring! https://bit.ly/3T3uHWD #podcast #podcasts #podcasting #law #lawyer #lawyers #attorney #attorneys #legalcareer #legalcareers #regulation #regulatorylaw #finance #crypto #cryptocurrency #FTX #bankruptcy #bankruptcylaw #digitalasset #digitalassets #Bitcoin

🚨 Breaking News in Crypto Space! Jump Trading's Subsidiary Takes Legal Action Against FTX 🚨 In a significant development, a subsidiary of Jump Trading has filed a lawsuit against the now-defunct cryptocurrency exchange FTX, claiming a massive $264 million. This legal battle stems from an alleged breach of contract related to the Serum token agreement. 🔍 Key Points of the Case: - Jump Trading alleges that FTX did not adhere to the terms of their deal concerning Serum tokens. - The lawsuit aims to recover an eye-watering $264 million, highlighting the substantial financial stakes involved. - This legal challenge adds to FTX's ongoing woes and raises further concerns about contractual fidelity in the crypto industry. 🤔 What Could This Mean for the Future of Crypto Contracts? This case underscores the critical need for clarity and adherence to agreements in the volatile crypto sphere, potentially setting a precedent for how similar disputes are handled in the future. 👥 Crypto Community, What Are Your Thoughts? Have you encountered similar issues in your crypto transactions? How do you think this lawsuit will impact the broader crypto market and the enforcement of digital contracts? #CryptoNews #FTX #JumpTrading #SerumToken #Blockchain #LegalBattle #CryptoContracts Read More:

🔗⚖️ Who Gets FTX's Assets in This Legal Maze? 🧐 What's the fairest way to distribute FTX's remaining assets among victims and creditors? Share your thoughts!

Unlocking Future Trust: Can Tech Safeguard Crypto Integrity? 🌐 How might tech innovations prevent future crypto crises? Share your thoughts!