The bankrupt crypto exchange FTX has submitted a draft reorganization plan to the courts to pay back creditors.
The draft plan, filed with a US bankruptcy court on Monday, calls for scrapping claims based on holdings of the disgraced companys native token, FTT.
The draft says the FTT-based claims against the exchange should be dropped due to the equity-like characteristics of its native token. It also calls for canceling any other equity interests.
FTX plans to pay back other debtors and customers in cash. The companys CEO, John J. Ray III, says in a press release that the submitted plan is designed to elicit creditor feedback.
Our goal is to achieve a consensual plan and emergence from bankruptcy. We are committed to working through th…
Read the full article at: https://dailyhodl.com/2023/08/02/ftx-ceo-says-embattled-exchange-ready-for-bankruptcy-plan-that-will-extinguish-ftt-token-claims/