Two months after the ailing crypto exchange filed for bankruptcy, FTX‘s new leadership claims to have found $5 billion in cash, liquid bitcoin, and liquid financial instruments. According to FTX attorney Andy Dietderich, the assets were discovered at a bankruptcy court hearing in Delaware on Wednesday morning.
Dietderich pointed out that the $5 billion figure does not include the $425 million in cryptocurrency held by the Bahamas Securities Commission.
The lawyer did not clarify whether it included Sam Bankman Fried‘s $450 million in Robinhood stock, which the US government claimed last week while the former FTX CEO awaits trial on fraud allegations.
“We are engaged in a complex effort now to recreate petition date claim values for every customer. We are building financial statements from the ground up using the general ledger and bank transaction records rather than the previous incomplete and unreliable financial statements of the debtors,” Dietderich said. “This will put us in the position to describe the financial results of the debtors accurately for the first time.”
Lawyers went before Judge John Dorsey for a lengthy hearing that covered the potential sale of FTX businesses as well as whether the identities of the firm’s nine million clients should be redacted.
According to Kevin Cofsky, a partner at FTX’s proposed investment bank Perella Weinberg Partners, FTX could sell its main exchange during the bankruptcy process.
“We have already initiated a review of a reorganization of the core exchange, and that process is ongoing,” Cofsky said. Four companies that FTX claims are largely independent of the crypto giant and could lose value if sold later are being sold first. LedgerX, Embed, FTX Japan, and FTX Europe is those companies.
Following discussions regarding the redacted customer list, Dorsey decided to keep the majority of customer and creditor identities secret for at least another three months because such individuals or organizations may have privacy issues if their information is made public. Major investors in FTX, including venture capitalist Peter Thiel, Tom Brady, Gisele Bundchen, and Kevin O’Leary, have already had their names made public in court.
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