- FTX files a repayment plan that estimates the value of the customers’ crypto assets.
- The plan values BTC at $16K and places ETH and SOL at $1.2K and $16, respectively.
- The filing follows a disclosure by FTX to value assets at prices as of when it collapsed.
In a December 27 filing, bankrupt cryptocurrency exchange FTX unveiled a repayment plan that values customers’ digital assets as of when it collapsed last year. The plan would see customers receive a value lower than prevailing market prices for their assets.
The filing follows a disclosure by FTX that it intends to pay customers the worth of their assets as of when it went bankrupt. In particular, the company proposed to value the crypto assets at prevailing market prices as of November 11, 2022.
The proposal, which has since been met with backlash, will see customers receive a value lesser than current market prices. Per the filing, FTX places the value of Bitcoin at $16,871.63 and estimates ETH and SOL at $1,258.84 and $16.2471144, respectively.
It bears mentioning that crypto market prices have recovered this year, fueled majorly by spot Bitcoin-ETF optimism. As a result, crypto assets are significantly higher than they were during the market lows seen in November 2022.
At the time of press, Bitcoin is trading at $42,915, much higher than the $16K proposed by FTX. Similarly, ETH and SOL are exchanging hands at $2,383 and $101.54, respectively, way higher than prices as of last year.
According to the filing, the rest of the crypto assets would go to non-customer creditors, including shareholders. In the meanwhile, FTX customers have until January 11 to object to the filing.
The collapse of the crypto exchange last year worsened an already bearish crypto market. Following allegations of customer funds mismanagement, FTX became distressed as customers rushed to withdraw their assets. Last month, FTX co-founder Sam Bankman-Fried was found guilty of the allegations.
Since then, the new management of the exchange, which at one time was the third-largest in the world, have proposed a relaunch. As of October, the management said they were weighing bids from three proposals.
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