Feb 16, 2023

Judge Dorsey Denies Appointment of Examiner for FTX Bankruptcy

On Feb. 15, Judge John Dorsey of the United States Bankruptcy Court for the District of Delaware denied a motion to appoint an independent examiner to oversee the FTX bankruptcy case. The judge argued that this would be an “unnecessary burden” on FTX’s debtors and creditors, citing the additional expense.

“Every dollar spent in these cases on administrative expenses is a dollar less to the creditors,” said Dorsey, adding that the cost of the investigation suggested by the Trustee at the hearing would likely exceed one hundred million dollars.

The motion was filed by U.S. Trustee Andrew Vara on Dec. 1, who argued that an examiner was in the best interest of the creditors. The Trustee suggested that an independent investigation could explore whether software was allegedly used to conceal the misuse of FTX user funds, as well as the absence of proper recordkeeping at the firm.

Judge Dorsey noted the experience of CEO John Ray, who took over other companies “in dire financial condition” and appointed four directors to oversee the silos compromising FTX following the removal of previous leadership — some of whom, including former CEO Sam Bankman-Fried, have been indicted in federal court. He ruled that Ray was “completely independent of prior management and the companies he was appointed to lead.”

Bankruptcy proceedings for FTX have been ongoing since the firm filed for Chapter 11 in November 2022. Debtors in the case recently filed that they had issued subpoenas to FTX insiders, including Bankman-Fried, ordering the former executives to turn over certain documents and information.

The FTX bankruptcy case has been a source of interest for many in the web3 space. With the emergence of Non-Fungible Tokens (NFTs) and the growth of crypto-related services, the FTX bankruptcy case has become a focal point for many looking to learn more about the financials of the web3 space.

As such, many have been looking to find ways to market their NFTs and other crypto-related services. This has led to the emergence of NFT marketing agencies and web3 agencies, which specialize in helping companies promote and sell their NFTs. These agencies use a variety of methods, including social media marketing, to help companies reach their target audience and increase their sales.

Twitter NFT marketing has become particularly popular, with many agencies taking advantage of the platform to promote their clients’ NFTs. By leveraging the platform’s wide reach and user engagement, these agencies are able to drive more sales and generate more interest in their clients’ NFTs.

The FTX bankruptcy case is an important reminder of the importance of financials in the web3 space. Companies need to be aware of the risks associated with investing in NFTs and other crypto-related services, and take the necessary steps to protect their investments. It is also important to remember that, while NFTs and other crypto-related services can be a great way to promote your business, it is important to work with a reputable NFT marketing agency or web3 agency to ensure your NFTs are properly marketed and sold.

Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.