SBF says FTX was solvent, blames bankruptcy team for ‘decimating’ firm

Convicted FTX founder Sam Bankman-Fried (SBF) asserted in a new 15-page document that FTX and Alameda Research were never insolvent during the November 2022 liquidity crisis, claiming customer funds could have been repaid in full. SBF alleged that FTX had $25 billion in assets and $16 billion in equity value against $8 billion in demands. He contends that the crisis was manageable until external counsel and the new CEO, John J. Ray III, seized control and initiated unnecessary bankruptcy proceedings, which delayed repayments and reduced stakeholder recovery. The document accuses bankruptcy lawyers of being incentivized to file, misrepresenting the firm as insolvent, discarding $7 billion in FTT tokens, and selling assets below market value, ultimately "decimating" the company, which SBF claims would now be worth $136 billion. SBF, currently serving a 25-year sentence, is appealing his conviction and seeking clemency.

(Source：The Block)