Bitcoin Halving Event Could Lead to Poor Results for Miners
Bitcoin (BTC) halving is one of the most anticipated events in the crypto space, and this event has the potential to propel the asset’s price to new highs. However, experts warn that the halving event could also be a "death knell" for some miners due to the high costs of the process, potentially driving them into bankruptcy.
Tom Brady's Financial Losses: The Devastating Impact of FTX's Collapse
Tom Brady, the NFL quarterback and ambassador for FTX, suffered significant financial losses when the cryptocurrency company collapsed. He had a lucrative deal with FTX, receiving $30 million in compensation, mostly in the form of FTX stock. His former spouse, Gisele Bündchen, also received $18 million worth of FTX stock. Brady made an urgent phone call to FTX's head of partnerships when the company filed for bankruptcy, but he was unable to reach him at first. FTX had partnerships with many sports leagues and athletes, including Brady and Bündchen, who starred in a $20 million advertising campaign for the company. Investors have initiated a class-action lawsuit against FTX founder Sam Bankman-Fried and other notable sports figures, including Brady and Bündchen, seeking accountability for their financial losses. Bankman-Fried's net worth plummeted from $30 billion to $4 million after the collapse of the company, and he now faces federal fraud charges.
Bloomberg: Crypto Firm Genesis, FTX’s $2 Billion Dispute Risks Delayed Payments From Creditors
U.S. Bankruptcy Judge Sean Lane said the $2 billion dispute between Genesis and FTX could delay court consideration of Genesis creditor payment plans. Both companies are in bankruptcy and are trying to raise money for creditors under court supervision. FTX initially said Genesis owed it $3.9 billion, but reduced that amount to about $2 billion in a letter to Lane this week. Genesis requested a hearing to determine the legality of the alleged debt, and FTX wanted to sue Genesis, both of which were denied by the judge.
Winklevoss Twins Set Final Deadline for Digital Currency Group To Restructure Bankrupt Genesis Unit
Gemini, the crypto company founded by the Winklevoss twins, has set a final deadline of Thursday afternoon for Digital Currency Group (DCG) to agree on a deal to restructure its bankrupt crypto lending unit Genesis. Genesis filed for bankruptcy in January after the collapse of key counterparties including FTX caused it to freeze customer redemptions in November.
Legal Fees for FTX Bankruptcy Process Exceed $200 Million, Raising Concerns for Defrauded Customers
June 30 (Cointime) - The legal fees for the bankruptcy process of FTX have surpassed $200 million and are expected to rise further. Sunil Kuvari, a former FTX customer, is questioning the high costs of restructuring the allegedly fraudulent crypto exchange and recovering funds from various recipients. Kuvari argues that the costs are significantly higher than those of comparable bankruptcies, and creditors may lose an additional $100,000 or more due to the excessive expenses. The bankruptcy examiner, Katherine Stadler, has recommended some cost reductions, but the expenses are deemed appropriate for the complexity of the situation. However, Kuvari believes that FTX's embezzlement was a simple case compared to Enron's well-covered tracks, and Bankman-Fried is taking one last pound of flesh from FTX's victims before facing consequences in October.
Former FTX Customers Given Deadline to Submit Claims and Vote on Restructuring Plan
June 29 (Cointime) - Former clients of FTX, Alameda Research, and affiliated companies have until September 29th to file claims against the bankruptcy estate and vote on the Chapter 11 restructuring plan. Claims must specify the type of asset and be denominated in USD.
Creditors Accuse BlockFi CEO of Fraud and Extortion in Delaying Bankruptcy Proceedings
June 28 (Cointime) - Creditors of bankrupt cryptocurrency lender BlockFi have filed for the company to be liquidated, accusing CEO Zac Prince and other management of fraud, extortion, and delaying bankruptcy proceedings.
$2M Customer Funds Lost to Crypto Trading: New Zealand Travel Firm Goes Bust After Gambling Customer Funds
June 27 (Cointime) - We Are Bamboo, an ethical travel company based in New Zealand, reportedly used customer funds from prepaid trips for active crypto trading across multiple platforms, leading to the company's bankruptcy and leaving customers without refunds. The director of the company invested over $2 million of customer funds in various cryptocurrency platforms, resulting in a complete loss.
Former FTX CEO Sam Bankman-Fried Accused of Spending Millions of Mixed Client Funds to Buy Multimillion-dollar Luxury Properties in the Bahamas for Employees and Their Friends and Family
June 27 (Cointime) -Former CEO Sam Bankman-Fried spent millions of dollars over two years on properties in the Bahamas, including a six-bedroom, 11,500-square-foot penthouse in the Albany resort community, according to a second report from FTX creditors released Monday. The report lists properties that other executives allegedly bought with a mix of client and company assets.
Cryptocurrency Trading Platform Gemini Welcomes Clients Affected by Voyager Bankruptcy to Its Platform, Offers Promotions for New Users
June 26 (Cointime) -Cryptocurrency trading platform Gemini welcomes Voyager clients to its platform. Customers affected by Voyager’s bankruptcy will have until July 23, 2023 to create a Gemini account to withdraw their cryptocurrency in kind. Gemini is also running a promotion for newly registered and verified U.S. customers who will receive $5 worth of Bitcoin.
