{"id":92695,"date":"2024-09-10T03:36:43","date_gmt":"2024-09-10T07:36:43","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=92695"},"modified":"2024-09-10T03:37:02","modified_gmt":"2024-09-10T07:37:02","slug":"ftx-emergent-settles-over-600m-robinhood-shares","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/ftx-emergent-settles-over-600m-robinhood-shares\/","title":{"rendered":"FTX, Emergent Settles Over $600M Robinhood Shares Claim"},"content":{"rendered":"\n

Emergent Technologies has agreed with the bankrupt crypto exchange FTX<\/a> regarding acquiring over $600 million in Robinhood shares.<\/p>\n\n\n\n

\"FTX,
FTX, Emergent Settles Over $600M Robinhood Shares Claim<\/figcaption><\/figure>\n\n\n\n

FTX CEO John Ray III filed a motion in a Delaware Bankruptcy Court on September 6 that stated the company will reimburse Emergent $14 million for administrative expenses associated with its withdrawal of a petition to claim 55 million Robinhood shares and cash.<\/p>\n\n\n\n

The settlement also enables Emergent to expedite resolving its bankruptcy case in Antigua.<\/p>\n\n\n\n

FTX stated that the agreement is a critical component of its reorganization plan to optimize value for creditors, as it facilitates the recovery of additional funds for its creditors and helps prevent additional litigation expenses.<\/p>\n\n\n\n

\"\"
Screenshot from FTX\u2019s Global Settlement Agreement motion. Source: Kroll\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a><\/figcaption><\/figure>\n\n\n\n

Ray stated in a declaration on September 6 that the agreement was the outcome of “good faith arm's length negotiations between the parties” and that these negotiations were “free of any collusion.”<\/p>\n\n\n\n

In May 2022, Emergent agreed with Bankman-Fried and Alameda Research, the crypto trading firm he founded, to acquire approximately 56 million Robinhood shares, valued at roughly $600 million.<\/p>\n\n\n\n

The Justice Department seized the shares in January 2023 following FTX's collapse in November 2022, and several parties, including FTX, BlockFi, Bankman-Fried, and Emergent, have claimed ownership or rights to it.<\/p>\n\n\n\n

On September 1, 2023, Robinhood liquidated the shares and repurchased them for approximately $606 million.<\/p>\n\n\n\n

Bankman-Fried and Gary Wang, a former co-founder of FTX, jointly established Emergent Fidelity Technologies, an offshore investment firm that filed for Chapter 11 bankruptcy<\/a> in February 2023.<\/p>\n\n\n\n

Bankman-Fried was sentenced to 25 years in prison in late March for his involvement in a significant fraud that resulted in the collapse of numerous high-profile crypto companies, including his own.<\/p>\n\n\n\n

There is an upcoming hearing on the motion on October 22.<\/p>\n","protected":false},"excerpt":{"rendered":"

Emergent Technologies has agreed with the bankrupt crypto exchange FTX regarding acquiring over $600 million in Robinhood shares. FTX CEO John Ray III filed a motion in a Delaware Bankruptcy Court on September 6 that stated the company will reimburse Emergent $14 million for administrative expenses associated with its withdrawal of a petition to claim […]<\/p>\n","protected":false},"author":12,"featured_media":80249,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[32],"tags":[21728,778,21729],"class_list":["post-92695","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-exchange-news","tag-emergent","tag-ftx","tag-robinhood-shares"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/06\/croc_1717582160826.jpeg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/92695","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=92695"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/92695\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/80249"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=92695"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=92695"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=92695"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}