FTX Group has secured just $740 million in crypto that it hopes to recover in bankruptcy after holding more than $5 billion before its collapse
- FTX Group has secured in new cold wallets approximately $740 million of cryptocurrency, a new filing said.
- But that's just a fraction of the digital assets that FTX hopes to recover in bankruptcy.
FTX Group has a big hole to fill as it looks for funds to repay customers and creditors during its bankruptcy.
According to a new Chapter 11 filing, recently installed CEO John Ray has been combing through Sam Bankman-Fried's multitude of businesses and divided them into four groups, or silos: WRS, Alameda, Ventures and Dotcom.
"The Debtors have located and secured only a fraction of the digital assets of the FTX Group that they hope to recover in these Chapter 11 Cases," the filing said. "The Debtors have secured in new cold wallets approximately $740 million of cryptocurrency that the Debtors believe is attributable to either the WRS, Alameda and/or Dotcom Silos."
The $740 million in cryptocurrency doesn't include at least $372 million of unauthorized transfers nor approximately $300 million in FTT tokens minted by an unauthorized source after the bankruptcy filing.
The asset picture looked much different before FTX's collapse.
Elsewhere in the filing, assets across the four silos showed "crypto assets held at fair value" totaled more than $4 billion as of September 30. In addition, US dollar-denominated stablecoins totaled more than $1.1 billion across the silos.
Meanwhile, founder Bankman-Fried, who resigned as CEO last week, previously has said the company held $5.5 billion in "less liquid" crypto tokens.
The filing gives perhaps the most comprehensive view yet of FTX since the exchange's downfall, amid federal probes over potential mishandling of client funds.
Still, it noted that "the main companies in the Alameda Silo and the Ventures Silo did not keep complete books and records of their investments and activities," and Ray cautioned throughout that he doesn't have confidence in FTX's numbers, which may not be correct.