LedgerX, a subsidiary of troubled cryptocurrency exchange FTX, is reportedly preparing US$175 million for its parent company’s bankruptcy proceedings, according to unnamed sources cited by Bloomberg on Wednesday.
See related article: FTX to resume paying wages
Fast facts
- LedgerX’s offer reportedly comes from a US$250 million fund that was intended to finance regulatory approval procedures to offer crypto derivatives products, Bloomberg reported.
- The money could be transferred as early as Wednesday, according to the unnamed source cited in the report.
- According to Bloomberg, the Commodity Futures Trading Commission, the US derivatives regulator that oversees LedgerX, said the agency was aware of the planned transfer.
- Bankruptcy lawyers estimated that FTX held US$1.24 billion in cash, as of Nov. 20, while LedgerX has around US$303 million.
- FTX US, an affiliate of FTX, acquired LedgerX in September 2021 and rebranded to FTX US Derivatives, a crypto derivatives platform.
- FTX US Derivatives, or LedgerX, is one of the few FTX-related assets that is solvent and not part of the debtors.
See related article: Bankrupt crypto exchange FTX launches strategic review of assets
