A Chinese creditor residing in Singapore was denied repayment by FTX bankruptcy lawyers, who argued that his KYC-listed jurisdiction was China—a restricted jurisdiction. However, when the creditor attempted to speak at an upcoming hearing, the same lawyers claimed he lived in Singapore, which they said disqualified him from objecting to the motion on restricted jurisdictions. This contradictory stance effectively denied him both repayment and a voice in the process.

FTX creditors can now sell their claims via @Backpack to fetch better offers than dealing directly with claim buyers. Basically, Backpack takes over the laborious work originally performed by claim buyers, handling claim verification and management. Backpack states that it NEITHER charges any fees NOR generate any profit from this service. It launched the portal solely to assist FTX creditors.

FTX is accusing former executive Ryan Salame of failing to pay $5 million in restitution to the estate. The ongoing legal drama has already generated 267 docket entries and consumed tens of millions of $ in legal fees—money that could have gone toward repaying creditors.

Translated by Grok “I created a group to protect the interests of FTX China creditors If you want to collect debts, don't join, I'll definitely kick you out Come if you want to contribute ideas”

FTX refused to refund Chinese creditors. a former FTX creditor is taking action.

Netflix is producing a FTX story called The Altruists”. It will focus on Sam Bankman-Fried and Caroline Ellison’s entangled love stories and how they committed the scam together. Here are some on scene photos:

$70M Committed to Boba Network as Foundation Concludes BOBA Token Agreement with FTX Recovery Trust

I know everyone is really bulled up on the Robinhood announcement and tokenized equities, and not to be a bear, but the conversation seems to lack a lot of nuance. I'm a long term bull but I expect near term expectations are WAY too high. So lets take a critical look. So, how do these products actually work? Using xStocks as an example (and this looks to be how the HOOD product will approximately work too), you have an SPV out of Jersey that is regulated in Lichtenstein. To mint/redeem you have to be KYC'd with Kraken (and soon other exchanges) and that token gives any holder who KYCs the legal right to redeem for the cash value of their equity token at the OFFCHAIN price (not what it trades at on chain). Dividends are reinvested in kind / token doesn't rebase and voting rights go to the SPV. Once you have the token you can send it to any wallet / use it in defi / etc. Notably, when you mint the token the SPV then goes and acquires the share as collateral. They can (mostly) only acquire shares during market hours. So all after hours / weekend trading will require a market maker to hold the price risk (which will be very hard or impossible to hedge) until they can mint/redeem - but even then redemption fees are at a quite high (for MM standards) 25bps. It's also true that there is a lot of regulatory risk for any defi protocol and market maker who may end up serving a US user who buys this onchain (far more than your other coins). This means a few important things, most importantly - Market makers, because they will have to take massive amounts of weekend and after hours price risk, will have to blow out spreads that will make trading these things outside of market hours untenable for most professional traders and firms. Those firms will also, likely, pull liquidity in times of market stress on weekends and after hours. Which, if these things permeate defi lending and derivs, will create major cascading liquidation risk. Also, because you only have legal right to the cash value of the offchain price less 25bps redemption, you will see quick convergence back to the offchain price when equities markets open. That means when people buy in times of that low liquidity euphoria on weekends/after hours but the equities market then opens lower than token buyers expected, you will see quick rapid losses at open which will primarily be born by retail (also potentially gains, but less likely due to sophisticated actors). Functionally, that means these are just not good products. They absolutely serve a use case in terms of providing access to otherwise underserved markets. That includes crypto native traders who don't want to kyc/aml (for whatever reason) at a brokerage. Also ease of transfer, fractionalized shares and better reconciliation. But only for a small subset of retail. They cannot serve a sophisticated, real, and global equities market. And they likely won't even serve the needs of the professional crypto traders who know they can get significantly better pricing and less risk elsewhere. This will be especially true on the weekends (after hours a bit easier to figure out) and onchain vs. in Cefi. Long-term, as primary markets come onchain, collateral mobility moves to tokenized products, and traditional takers can fix their (pretty outdated) tech stacks, you'll see equities move in real size onchain and liquidity increase dramatically. There will be lots of headlines, but these existing products are likely going to be a disappointing speed bump in the trajectory we are on.

FTX bankruptcy law firm Sullivan Cromwell forced FTX into bankruptcy. Now it is doing the same with Linqto: “ If Linqto files for bankruptcy reorganization in the coming days, its customers will likely be transformed into unsecured creditors who will have to wait in line to get paid.”

Robinhood choosing Arbitrum to create a new L2 is yet another case study for why garage startups disrupt incumbents. Did Robinhood choose Arbitrum because it will provide the best UX for customers? If you have been an active onchain user over the past year, you would say no definitively. A group of megacorp middle managers evaluated the best "deal" for the company and went with the option where they can control career risk. I don't know any insider info about the decision, but I do know startups that integrate infra from first principles and prioritize UX will eat Robinhood's lunch. Nom nom.