Tag: Bankruptcy

Bankruptcy judge signs off on order allowing Terraform Labs to subpoena FTX entities

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A judge in the bankruptcy case for defunct crypto exchange FTX has issued an order allowing Terraform Labs to subpoena information that could be used in its case brought by the United States Securities and Exchange Commission (SEC). In a July 31 filing in U.S. Bankruptcy Court for the District of Delaware, Judge John Dorsey said Terraform Labs was permitted to serve FTX Trading and FTX US with subpoenas aimed at gathering evidence the firm could use in its defense from allegations of fraud by the SEC. The crypto firm…

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FTX leadership sues Sam Bankman-Fried over $220M deal made prior to bankruptcy

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FTX lawyers are suing former CEO Sam Bankman-Fried, co-founder Zixiao Wang, and former senior executive Nishad Singh over the $220 million acquisition of stock-clearing platform Embed, alleging lack of due diligence.  According to a May 17 filing, FTX had paid $220 million to acquire Embed through its United States subsidiary after having allegedly “performed almost no due diligence” on the platform. After FTX filed for bankruptcy, the judge in charge of the proceedings approved the sales of Embed and other assets of FTX, but the top bidder for the platform offered just…

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Bittrex Inc. Bitcoin And Crypto Exchange Files For Chapter 11 Bankruptcy

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Bittrex, a bitcoin and cryptocurrency exchange platform founded in 2014, has filed for bankruptcy in the state of Delaware. The decision comes after the company previously announced that it would be ceasing all operations in the U.S. effective April 30th as a result of U.S. Securities and Exchange Commission charges against the firm and its former CEO for operating an unregistered exchange, broker, and clearing agency. However, this announcement does not impact Bittrex Global, according to a statement released by the company, which will continue its operations as usual for…

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