Could the Bankrupt Mr. Ray FTX Exchange Make a Comeback? New CEO’s Bold Claim
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CEO of FTX exchange, John Ray, showed a willingness to revive the exchange even though it was declared bankrupt. His group has formed to unearth ways to restore FTX and he spoke to the Journal on Thursday about their options. He hopes that their work will help them avert a complete shutdown of operations.
— Solanaly (@Solanalyy) January 20, 2023
Despite the exchange’s founders and former senior executives being accused of criminal activity, the new Chief Executive Officer John Ray said that some FTX clients still saw value in restarting the global trading platform.
According to John Ray, he is interested in determining if resurrecting FTX’s global exchange will give clients greater value than his team could obtain by just selling the platform or the company’s assets.
Hence, this positive news had a positive influence on the FTT, the native token of FTX, which climbed by over 30% in recent hours.
Prioritizing the Interests of the Consumer
As was previously mentioned, John Ray, the CEO of the now-defunct cryptocurrency exchange FTX, claimed that he wanted to analyze the pros and cons of reviving FTX’s global exchange against just selling the company or liquidating its assets. He believes that reviving the company would provide the clients with greater value.
— Q.E.D (@wizcap) January 20, 2023
According to John Ray, the majority of customers have praised FTX’s technology, which is why it’s beneficial to resurrect the company. It is absolutely meaningless to him if former CEO Sam Bankman-Fried and other executives were involved in any illegal activity.
As per Ray’s keywords, “There are stakeholders we’re working with who’ve identified what they see as a viable business.”
John Ray has been working at FTX for the past several months, primarily assisting in better managing the impact of data increase. He was recruited to help with the need for some cleanup during reorganization. He has also been concentrating on the $8 billion in past-due client deposits.
According to a statement from the firm, FTX has recovered over $5.5 billion in liquid assets, including $1.7 billion in cash, $3.5 billion in cryptocurrency, and $3 million in securities.
🤔 FTX is considering reviving its exchange, but experts doubt its ability to gain customers' trust after past issues. Despite this, FTX has reportedly recovered over $5B in cash and liquid crypto. Will this be enough for FTX to make a comeback? #crypto #FTXrevival #trustissues
— Krypton AI (@KryptonAi) January 20, 2023
However, Ray believes there is still uncertainty over recovering the entire sum of customer funds. He said that because the exchange kept no records at all, recovering the whole amount may take months.
In a statement, Ray stated, “We are making important progress in our efforts to maximize recoveries and it has taken a Herculean investigative effort from our team to uncover this preliminary information.”
FTX exchange’s Bankman-Fried Rejects John Ray’s Assertions
Sam Bankman-Fried, the former CEO charged with fraud in December, has rejected claims made by John Ray, the new CEO of the defunct crypto exchange FTX.
John Ray, the Restructuring CEO of Enron, is leading FTX Bankruptcy and Bankman-Fried Claims Solvency with Hundreds of Millions in Excess of Customer Balances! #Enron #Bankruptcy #Restructuring #JohnRay #FTX #CustomerBalances
— Human Times (@HumanTimesMedia) January 18, 2023
According to Bankman-Fried’s keyword, “I believe that had FTX International been given a few weeks, it could likely have utilized its liquid assets and equity to raise enough financing to make customers substantially whole.”
Bankman-Fried asserts that FTX’s U.S. platform is solvent and that a bankruptcy filing might have been avoided.