A July 7 report from Teneo, the hedge fund’s liquidator, described the potential claims.
Crypto Lender Abra Has Been Insolvent for Months, State Regulators Say
Crypto lender Abra has been insolvent since at least March 31, 2023, state securities regulators alleged on Thursday.
Gate.io denies liquidity problems after Multichain CEO goes missing
Some Twitter users posted transactions showing large inflows of MULTI and FTM to Gate.io, leading them to perceive a connection between the two organizations.
Fed, central banks enhance ‘swap lines’ to combat banking crisis
Currency swap lines have been used during times of crisis in the past, such as the 2008 global financial crisis and the 2020 coronavirus pandemic.
Despite endless media appearances, SBF unlikely to testify on 13th
One observer suggested Bankman-Fried may be reluctant to discuss FTX due to the legal implication of lying under oath to the U.S. Congress.
Crypto trading firm Auros Global misses DeFi payment due to FTX contagion
Auros is an algorithmic trading and market-making firm that provides liquidity for exchanges and token projects.
FTX resumes paying staff and contractors after weeks in limbo
The payments will exclude former FTX CEO Sam Bankman-Fried, and certain former execs including Gary Wang, Nishad Singh, and Alameda’s Caroline Ellison.
CoinList addresses ‘FUD’ on withdrawals, cites technical issues for delays
CoinList blamed “custodian issues” with one suffering an outage affecting “many tokens” on the platform as the reason for reported withdrawal problems.
Getting funds out of FTX could take years or even decades: Lawyers
The complexities that come with digital assets, cross-border insolvency and competing jurisdictions could add years to the timeline.
FTX is done — What’s next for Bitcoin, altcoins and crypto in general?
FTX is gone, and it looks like many centralized crypto platforms will fall with it. But is there a silver lining?
Sequoia Capital marks down entire $214M FTX stake to zero
The venture capital firm assured partners it ran a rigorous due diligence assessment when it invested in FTX, finding the exchange to generate $1 billion in revenue and $250 million in operating income.
KuCoin (KCS) Price Crumbles Following Insolvency Rumors
KuCoin utility token KCS has been in a sluggish condition in the last few days, as the major cryptocurrency exchange faces a flood of insolvency rumors.
Tuesday’s CoinMarketCap statistics reveals that the price of KSC has decreased by 17.35 percent over the previous week, trading at $8.74 at the time of writing.
According to certain sources, KuCoin had exposure to Terra’s doomed LUNA and UST cryptocurrencies as well as insolvent crypto hedge firm Three Arrows Capital.
KuCoin is the fifth largest cryptocurrency exchange in the world, with a 24-hour trading volume of $927 million. KCS is the 49th most valuable digital asset according to CoinMarketCap, with a market valuation of $858 million.
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KCS Sheds 14% Of Value This Month
KCS has kept weakening this month despite its founder’s assurances that the cryptocurrency exchange will not halt withdrawals in the manner of many of its competitors.
KCS has lost 14 percent of its value so far this month, as investors have been frightened by changes in global macroeconomic conditions and by weakness in the balance sheets of other major crypto exchanges following a wave of job cuts and operational breakdowns caused by the insolvency of a few large clients.
Last week, the exchange’s native token lost roughly a quarter of its value, with more than half of that decline occurring on Saturday alone. Since the end of May, KCS has lost more than half of its value and is down more than 60 percent from its December 2017 record levels.
Crypto total market cap at $897 billion on the daily chart | Source: TradingView.com
KuCoin Is Fine, CEO Says
KuCoin CEO Johnny Lyu responded to speculations of the company’s demise by clarifying it had no exposure to Three Arrows, LUNA, or Babel.
Be aware of FUDs!
Not sure who's spreading these sheer rumors, and what their intentions are, but #KuCoin does not have any exposure to LUNA, 3AC, Babel, etc.
No “immense suffer” from any “coin collapse”, no plan to halt withdrawal, everything on KuCoin is operating well.
— Johnny_KuCoin (@lyu_johnny) July 2, 2022
On Twitter, Lyu said:
“No ‘immense suffer’ from any ‘coin collapse’, no plan to halt withdrawal, everything on KuCoin is operating well,” adding that the company reserves the right to carry out legal actions against those spreading false rumors.
In May of last year, the company secured $150 million in new cash during a funding round that valued the exchange at $10 billion.
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In May of last year, the company secured $150 million in new cash during a funding round that valued the exchange at $10 billion. KuCoin embarked on a hiring binge and added new features to its site, sources said.
Nonetheless, according to market experts, the associated FUD (fear, uncertainty, and doubt) has had an effect on KCS.
Until uncertainties around KuCoin’s balance sheet is resolved, it is possible that KSC may not be able to initiate a strong comeback, even if the wider crypto industry can.
Featured image from FundsNet, chart from TradingView.com