• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

FTX’s Legal Argument on Token Valuation

user avatar

by Giorgi Kostiuk

2 years ago


FTX has requested the dismissal of investor claims on certain cryptocurrencies related to its former CEO, Sam Bankman-Fried. The legal team for FTX argued during a hearing to reduce customer claims for the tokens of Maps.me, Oxygen, Serum, and Boba. They claim that these tokens, known as “Sam Coins,” do not have any real market value.

FTX’s attorney, Brian Glueckstein, presented an analysis indicating the tokens have no market and proposed their value be set to zero. The firm's valuation expert explained that liquidating these tokens would take decades, emphasizing their reduced value.

The argument made by FTX suggests that MAPS and OXY tokens, mainly owned by the firm and its affiliates, are essentially worthless despite being valued at over $600 million. SERUM tokens should reportedly be reduced by around 58% from their $509 million valuation.

Customer Opposition to FTX’s Stance

Investors holding these tokens oppose FTX’s proposal to devalue them. They claim the combined assets continue to be worth over $1.1 billion and ask the court to dismiss FTX’s valuations.

Alameda Research and FTX supported the tokens when they saw significant drops in value ranging from 98% to 99.5%. Sam Bankman-Fried is facing legal consequences, potentially including extensive prison sentences for numerous fraud charges following FTX’s collapse.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

PENGU's Correlation with Solana Intensifies Selling Pressure

chest

The relationship between PENGU and Solana is deepening, contributing to additional downward pressure on PENGU's price.

user avatarFilippo Romano

Rising Supply and Weak Holder Activity Signal Trouble for PENGU

chest

An increase in circulating supply and declining holder activity indicate waning confidence in PENGU.

user avatarTomas Novak

Pudgy Penguins Faces Significant Price Decline

chest

Pudgy Penguins token (PENGU) has experienced a sharp downtrend, losing over 60% of its value since October.

user avatarEmily Carter

Sei SEI Optimizes Decentralized Trading

chest

Sei is a specialized Layer 1 blockchain designed for speed and efficiency, targeting decentralized exchanges.

user avatarMaya Lundqvist

Sky SKY Enhances DeFi Governance

chest

Sky is the governance token for the Sky Protocol, providing users with a non-custodial way to access liquidity through its stablecoin.

user avatarLeo van der Veen

Render RENDER Revolutionizes GPU Rendering

chest

Render offers a decentralized solution for GPU rendering, connecting artists with idle GPU owners, thus democratizing access to high-end rendering resources.

user avatarKaterina Papadopoulou

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.