Based on market pricing at the time of transfer, these assets will be delivered to customers and creditors who own them.
In November, the digital assets of FTX's Bahamas unit were transferred to digital wallets under the exclusive control of the commission. This occurred shortly after FTX and its hedge fund, Alameda Research, filed for bankruptcy in the United States, along with dozens of affiliated companies.
As a result of the transfer, FTX founders Sam Bankman-Fried and Gary Wang no longer had access to the transferred or frozen tokens, according to an affidavit filed by the executive director of the commission, Christina Rolle. Rolle stated that "all transferred assets were and remained under the sole control of the commission."
Earlier this month, lawyers for FTX opposed a demand for internal records from its Bahamian business, claiming that they do not trust the Bahamian government with data that could potentially be used to siphon off assets from the bankrupt company.
After FTX announced bankruptcy, the authorities in the Bahamas, where the company was headquartered, appointed liquidators to wind down its international trading business.
FTX Founders Lose Access to Frozen Tokens After Asset Transfer to Bahamas Securities Commission
FTX founders Sam Bankman-Fried and Gary Wang no longer have access to the transferred or frozen tokens, according to an affidavit filed by the executive director of the Securities Commission of the Bahamas, Christina Rolle.
Rolle stated that the transfer of FTX's digital assets to digital wallets under the exclusive control of the commission, which occurred in November, resulted in Bankman-Fried and Wang losing access to the tokens.
The asset transfer took place shortly after FTX and its hedge fund, Alameda Research, filed for bankruptcy in the United States, along with dozens of affiliated companies.
Rolle confirmed that "all transferred assets were and remained under the sole control of the commission."
This news follows the opposition by FTX lawyers to a demand for internal records from the company's Bahamian business, citing a lack of trust in the Bahamian government with data that could potentially be used to siphon off assets from the bankrupt company.
FTX Opposes Demand for Internal Records from Bahamian Business, Citing Lack of Trust in Government
Lawyers for crypto exchange FTX have opposed a demand for internal records from the company's Bahamian business, stating that they do not trust the Bahamian government with data that could be used to siphon off assets from the bankrupt company.
This opposition comes after the Securities Commission of the Bahamas announced holding $3.5 billion worth of FTX assets temporarily to deliver to customers and creditors who own them.
Based on market pricing at the time of transfer, the assets were transferred to digital wallets under the exclusive control of the commission in November. This occurred shortly after FTX and its hedge fund, Alameda Research, filed for bankruptcy in the United States, along with dozens of affiliated companies.
