May 23, 2023 at 12:19 GMTModified date: August 9, 2023 at 10:32 GMT
May 23, 2023 at 12:19 GMT

FTX 2.0 Plans Confirmed, as $FTT Jumps 13%

The $FTT price has rallied by 13% as new court docs reveal that new FTX CEO John Ray is attempting to make FTX 2.0 happen.

FTX 2.0 Plans Confirmed, as $FTT Jumps 13%

New FTX CEO John Ray is currently attempting to revive the failed crypto exchange with FTX 2.0, according to the latest court documents. Meanwhile, $FTT has rallied by more than 13%.

In a 22-page court filing revealed yesterday, an FTX reboot plan is definitely under current consideration.

According to the filing, it also appears that FTX will be entering a bidding process. The court document shows that Ray has held meetings with creditors and debtors in the past month.

On 11 November last year, FTX filed for Chapter 11 bankruptcy protection in the US, and is currently undergoing proceedings. 

In January of this year, the new FTX CEO Ray first had discussed rebooting the bankrupt exchange. It was reported that FTX had recouped $5.5billion in liquid assets, attorneys told a Delaware bankruptcy judge. Then in April, another court hearing revealed that the exchange had recovered $7.3bn in cash and liquid crypto assets.

At this time, FTX attorney Andy Dietderich said the company was considering its future after months of reconfiguring and working out what went wrong under the management of indicted ex-founder Sam Bankman-Fried.

“The situation has stabilized, and the dumpster fire is out,” Dietderich said.

Bankman-Fried has pleaded not guilty. Several other company insiders have been indicted on fraud charges for their role in the exchange’s collapse. The former members of his inner crew have plead guilty and have agreed to cooperate with prosecutors.

New CEO John Ray has detailed mismanaged fund transfers and bad accounting at the firm, describing it as a “complete failure” of controls.

FTT rallies on FTX 2.0 plans

At the time of writing at 115m BST on 23 May, the price of FTX Token (FTT) has increased by more than 13% to $1.14. Its current CoinMarketCap ranking is number 216, with a live market cap of $363,201,043. It has a circulating supply of 328,895,104 FTT coins and a maximum supply of 352,170,015 FTT.

FTT reached an all-time low of $0.8245 on 1 January this year – 33.93% off its current trading price.