US Prosecutors Seize $700M Tied to FTX Grabowska
Main page News, US, Regulations, FTX
Hot topic
22 January

Federal prosecutors seized around $700 million in cash and other assets tied to the now-bankrupt crypto exchange FTX, CNBC reports, citing a court filing.

Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world

The report notes that the majority of confiscated funds is Robinhood's shares bought by Bankman-Fried using clients funds. The disgraced crypto entrepreneur denies misusage of customers assets.

Former FTX.US CEO: Sam Bankman-Fried Misled and Manipulated During Development of US Division

Federal prosecutors also seized accounts at Silvergate Bank holding over $6 million. They also confiscated around $20.7 million held by Emergent at ED&F Man Capital Markets, Inc, and almost $50 million at Farmington State Bank, saying that the seized assets "are not property of the bankruptcy estate."

In early January, the US Department of Justice seized over 55.2 million Robinhood shares from FTX founder Sam Bankman-Fried.

  • Bankman-Fried bought a slightly over 7.4% of Robinhood's shares through Emergent Fidelity Technologies for $648 million.
  • FTX filed for Chapter 11 bankruptcy protection in the US in early November after it had faced a liquidity crisis. The Bahamas-based trading platform allegedly owes nearly $3.1 billion to the top 50 creditors.

Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange

Read also:
Please describe the error