{"id":83523,"date":"2023-08-24T13:09:54","date_gmt":"2023-08-24T10:09:54","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=83523"},"modified":"2025-09-12T11:37:21","modified_gmt":"2025-09-12T08:37:21","slug":"ftx-to-hire-galaxy-digital-to-sell-assets","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/ftx-to-hire-galaxy-digital-to-sell-assets\/","title":{"rendered":"FTX to hire Galaxy Digital to sell assets"},"content":{"rendered":"<p>The collapsed FTX <a href=\"https:\/\/restructuring.ra.kroll.com\/FTX\/Home-DownloadPDF?id1=MjQ2NDU5Mw==&#038;id2=-1\">told the court<\/a> about plans to \u201c<a href=\"https:\/\/forklog.com\/en\/news\/what-is-staking-and-how-to-make-money-from-it\">sale, staking<\/a> and hedging\u201d of its $3 billion of digital assets \u2014 and will hire Galaxy Digital, Mike Novogratz&#8217;s firm, to do so.<\/p>\n<p><a href=\"https:\/\/forklog.com\/en\/news\/ftx-group-files-for-bankruptcy-sam-bankman-fried-resigns-as-ceo\">In bankruptcy proceedings<\/a>, the platform wants to return creditors&#8217; funds in fiat after selling the cryptocurrencies. FTX believes that careful trading could help avoid a decline in asset value.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cHedging will allow the debtors to limit potential declines in the value before selling bitcoin or Ethereum. Placing certain digital assets in staking will ultimately benefit creditors by generating low-risk income,\u201d said the company&#8217;s lawyers.<\/p>\n<\/blockquote>\n<p>Additionally, the exchange hopes to generate additional profits from the trades to settle with clients.<\/p>\n<p>FTX chose Galaxy, citing the firm&#8217;s \u201cextensive experience in digital asset management and investment trading.\u201d In turn, Novogratz&#8217;s company, in addition to standard payment, will receive \u201ca hedging and liquidation fee.\u201d<\/p>\n<p>According to <a href=\"https:\/\/www.coindesk.com\/policy\/2023\/08\/23\/ftx-bankruptcy-burning-through-15m-in-legal-costs-every-day\/?utm_campaign=coindesk_main&#038;utm_medium=social&#038;utm_term=organic&#038;utm_source=twitter&#038;utm_content=editorial\">CoinDesk<\/a>, FTX spends about $1.5 million daily on legal services.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cNow the lawyers&#8217; fees have reached almost $50 million a month. Literally hundreds of lawyers, financial advisers and bankers are working with them almost full-time. Every dollar spent on this case is essentially a dollar that clients will not receive,\u201d said creditor spokesperson Chris Hansen.<\/p>\n<\/blockquote>\n<p>In June, the current FTX management team said it had returned liquid assets <a href=\"https:\/\/forklog.com\/en\/news\/new-ftx-leadership-has-returned-7-billion-in-liquid-assets\">worth about $7 billion<\/a>.<\/p>\n<p>In May the exchange filed a suit against Genesis demanding <a href=\"https:\/\/forklog.com\/en\/news\/ftx-seeks-4-billion-from-bankrupt-genesis\">to return $3.9 billion<\/a>. Subsequently the amount of claims was reduced to $2 billion. Ultimately the companies <a href=\"https:\/\/forklog.com\/en\/news\/ftx-and-genesis-settle-175-million-payment-to-alameda-research\">agreed to pay $175 million<\/a> to Alameda Research.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The collapsed FTX told the court about plans for &#8216;sale, staking and hedging&#8217; of its $3 billion of digital assets \u2014 and will hire Galaxy Digital, Mike Novogratz&#8217;s firm.<\/p>\n","protected":false},"author":1,"featured_media":83524,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1300,1236,770],"class_list":["post-83523","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bankruptcy","tag-ftx","tag-galaxy-digital"],"aioseo_notices":[],"amp_enabled":true,"views":"15","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83523","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=83523"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83523\/revisions"}],"predecessor-version":[{"id":83525,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/83523\/revisions\/83525"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/83524"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=83523"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=83523"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=83523"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}