• US Bankruptcy Trustee Andrew Vara has revealed that FTX, a beleaguered crypto exchange, has refused to provide financial details regarding the businesses it intends to sell.
• These businesses include crypto derivatives exchange and clearinghouse LedgerX, FTX Europe, and custody platform Embed, FTX Japan.
• Vara has called for an independent investigation into the businesses FTX intends to sell, recommending that „there is a serious concern“ about them being a part of FTX’s bankruptcy.
Andrew Vara, the US bankruptcy trustee in the case of the beleaguered crypto exchange FTX, recently revealed that the exchange has refused to provide financial details regarding the businesses it intends to sell. These businesses include crypto derivatives exchange and clearinghouse LedgerX, FTX Europe, and custody platform Embed, FTX Japan.
Vara issued a Delaware court filing stating that FTX had not provided any information on the assets and liabilities of each entity and that it was currently seeking to delay this documentation until after the sale hearings. He added that the lack of financial information made it impossible to assess the nature or value of the assets of the entities FTX intends to sell.
Vara has called for an independent investigation into the businesses FTX intends to sell, as the exchange is currently under investigation. He recommended that „there is a serious concern“ about them being a part of FTX’s bankruptcy. He suggested that if the proposed sale of the other businesses is properly investigated, then FTX can go ahead with the sale.
In order to resolve this issue, Vara urged FTX to provide complete documentation on the businesses it intends to sell, including their financial affairs. He also asked that the exchange provide a full description of the proposed sales and the identity of the buyers.
The US bankruptcy trustee’s call for an independent investigation into the businesses FTX intends to sell is a necessary step in ensuring that the exchange is held accountable for any potential wrongdoing. It is also important to ensure that the proposed sales are properly conducted and that the buyers are legitimate. It is hoped that this investigation will bring a resolution to the matter and will help the exchange move forward with its planned sales.