Loading...

Bankrupt FTX exchange moved millions in crypto assets to Coinbase before SBF’s criminal trial

FTX

Most read

Loading Most Ready posts..

TL;DR

  • Bankrupt cryptocurrency exchange FTX moves large amounts of crypto assets including Chainlink’s LINK and Polygon’s MATIC, raising questions about potential liquidation.
  • Transactions occurred ahead of FTX founder Sam Bankman-Fried’s scheduled criminal trial testimony, adhering to U.S. bankruptcy court guidelines.

Bankrupt cryptocurrency exchange FTX has been actively shuffling its digital assets. Blockchain data revealed on Thursday afternoon that FTX moved another considerable batch of crypto assets, including Chainlink‘s LINK and Polygon’s MATIC. 

This transaction came before Sam Bankman-Fried’s criminal trial today. Lookonchain, a blockchain analytics tool, detected deposits of around $2.6 million in LINK and $1.3 million in Adventure Gold (AGLD) to Coinbase from FTX-associated wallets.

Additionally, Arkham Intelligence, another blockchain analytics platform, revealed that $4.8 million in MATIC was transferred from an FTX wallet to an intermediary address, which then channeled $1.8 million of it to Coinbase.

Timing raises eyebrows ahead of legal proceedings

Earlier today, nearly $19 million in digital assets like Solana (SOL) and Ether (ETH) were transferred from FTX’s cold wallets to various exchanges. Such activity might indicate a potential intention to liquidate these assets. FTX was previously granted permission by a U.S. bankruptcy court to sell, stake, and hedge its roughly $3.4 billion digital asset stash. Consequently, this allowed Galaxy Digital to manage the token holdings for FTX.

Significantly, these financial moves by FTX come right before Sam Bankman-Fried is due to testify at his criminal trial. While the transactions are within the boundaries of the court’s directive, the timing could be viewed as strategic. Nevertheless, it’s crucial to remember that FTX is adhering to the court-sanctioned plan to manage its assets, as laid out by the U.S. bankruptcy court.

However, the specifics regarding why these particular tokens were moved remain unclear.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Share link:

Damilola Lawrence

Damilola is a crypto enthusiast, content writer, and journalist. When he is not writing, he spends most of his time reading and keeping tabs on exciting projects in the blockchain space. He also studies the ramifications of Web3 and blockchain development to have a stake in the future economy.

Stay on top of crypto news, get daily updates in your inbox

Related News

Cryptopolitan
Subscribe to CryptoPolitan