FTX Estate Sells Remaining Discounted Solana Tokens in Bid to Repay Creditors
The FTX estate, responsible for managing the defunct exchange’s bankruptcy, has auctioned off the last of its heavily discounted Solana (SOL) tokens.
The tokens were sold to Pantera Capital and Figure Markets at a significantly reduced price as part of efforts to reimburse creditors and former clients.
The estate of bankrupt crypto exchange FTX concludes sales of a $2.6 billion trove of discounted Solana tokens, with Figure Markets and Pantera among the buyers https://t.co/qv0UrHcxxY
— Bloomberg Crypto (@crypto) May 24, 2024
In a bid to compensate creditors and former clients, the FTX estate sold the last of its Solana tokens, valued at $2.6 billion, to Pantera Capital and Figure Markets. The tokens were sold at $102 per token, well below the current market price of $168. Figure Markets acquired 800,000 SOL tokens, while Pantera Capital obtained the remaining lot.
A four-year vesting schedule for the tokens will be implemented as part of the agreement with the purchasers. This structured release aims to mitigate potential market impacts from the large transaction.
The FTX bankruptcy estate has recovered $7.3 billion in assets so far. However, the recovery efforts have not been without controversy.
Sunil Kavuri, a creditor leading the FTX creditor community, criticized the estate’s decision to sell assets at such deep discounts. He argued that the digital assets should have been returned to the creditors and clients directly rather than sold cheaply.
Kavuri stated,
“Sullivan & Cromwell has trampled over our property rights. They have liquidated billions of dollars of crypto assets. There’s a token S&C sold at 11 cents; it’s now trading at two dollars. FTX had $10 billion in Solana tokens — they sold it at a 70%
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