A top executive of a crypto asset management firm says that the company has sold its multi-million dollar claim in FTX’s bankruptcy.
In a lengthy thread, Ikigai Asset Management chief investment officer Travis Kling tells his 98,100 followers on the social media platform X that the firm sold its $65 million claim in FTX’s bankruptcy at a price much higher than initially anticipated.
“At the end of the day, the decision on whether to sell the claim was mostly a function of opportunity cost – how much do you think the claim price would increase in the future versus taking the cash now and deploying it into something else that can earn a return.”
According to Kling, Ikigai was initially optimistic about the potential revival of FTX through FTX 2.0 but the firm’s stance changed after witnessing the mistakes made by the entities behind the bankrupt exchange.
“I was (and still am) very interested in FTX 2.0. But the Debtors have fumbled that process so badly, and progress has been so slow, that it didn’t make sense for us to hang around in the claim any longer waiting for something to maybe happen with 2.0.”
The Ikigai CIO goes on to say that the majority of the cash obtained from the sale will remain in the fund and investors who want to redeem the money will be able to do so. Furthermore, he says that the digital assets industry appears to be on the cusp of another bull run.
“The market looks like it’s well on its way towards another bull cycle. It’s kinda astonishing, to be honest. Despite the industry’s deep and wide missteps over the last few years, it appears the world is giving this ecosystem another crack at it. Another shot to deliver real value.”
FTX originally filed for bankruptcy in late 2022 after its native asset collapsed and its founder, Sam Bankman-Fried, was accused of defrauding investors and mishandling customer funds. Last month, Bankman-Fried was found guilty of his charges and is facing a total possible sentence of 115 years in prison.
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The post Crypto Asset Management Firm Sells $65,000,000 Claim in FTX Bankruptcy, According to CIO appeared first on The Daily Hodl.
