Key Takeaways:
- Bankrupt crypto exchange FTX may relaunch soon
- Dubbed FTX 2.0, the project is underway thanks to the efforts of new CEO John Ray III
- According to recent documents, Ray charges $1,300 an hour for his services
YEREVAN (CoinChapter.com) — FTX, the cryptocurrency exchange that suffered a devastating collapse last year, is again making headlines. New court filings of the company now revealed plans for the exchange’s revival as FTX 2.0.
Under the leadership of new CEO John Ray III, who took over after Sam Bankman-Fried led the firm to bankruptcy, FTX’s management has actively engaged in meetings and activities aimed at rebooting the operations of the embattled company.
A recent compensation report of FTX suggests that John Ray III and his team have been diligently working on the exchange’s Chapter 11 bankruptcy. In addition, the report outlines various activities undertaken by the new management on behalf of the debtors. However, what has captured the attention of the crypto community is the mention of plans to restart FTX, raising hopes for its resurrection.
According to the document, Ray held a series of meetings with both creditors and debtors in April. These discussions focused on reviewing and finalizing the FTX “2.0 reboot of exchange material for distribution”.
Moreover, Ray also provided inputs on the “2.0 bidder list” and other related matters concerning the potential relaunch.
Recommended: Bitcoin Funds Lead Weekly Outflows As BTC Price Struggles to Flip $27.5K Resistance
Plans for FTX 2.0 are not new
Interestingly, this is not the first time the new management has expressed its intentions to resurrect the exchange. In January, reports revealed that FTX had uncovered $5.5 billion in liquid assets. At that time, CEO John Ray III was already collaborating with creditors to develop a comprehensive plan for relaunching the exchange.
Subsequently, in April, additional reports surfaced indicating that FTX had successfully recovered $7.3 billion in assets. This positive development paved the way for the leadership to establish a timeline for the potential relaunch, targeting the second quarter of 2024.
Former co-founder and CEO of FTX, Sam Bankman-Fried, also expressed his support for restarting FTX and introducing new FTT tokens, viewing it as a promising path forward for all stakeholders involved.
The collapse of FTX in November 2022 sent shockwaves throughout the industry, stemming from a liquidity crisis caused by the misuse of investor funds and manipulation of trading volumes by its former management.
As a result, in December 2022, authorities in the Bahamas arrested co-founder Sam Bankman-Fried and extradited him to the US. He faces several charges, including allegations of bribery, wire and securities fraud, and campaign finance violations, among other things. Experts consider his alleged illegal activity one of the largest financial fraud cases.
The courts placed him under house arrest after he pled not guilty. Earlier this month, he submitted pretrial motions in a New York District Court to dismiss most charges against him.
As the new management of FTX continues its endeavors to revive the exchange, the crypto community awaits further updates on the bidding process and the concrete steps to ensure a successful reboot.
Also Read: Bitcoin Pizza Day is Here — Plus A Lot of Crypto Scammers
FTX 2.0 Plans Resurface as New Leadership Seeks Redemption
FTX’s plans to relaunch are not without hurdles. The firm must navigate a complex landscape of legal obligations, investor trust, and regulatory compliance. It will be an uphill battle to rebuild its reputation, which suffered a significant blow due to its bankruptcy.
Nevertheless, the exchange appears determined to regain its position in the market and address the concerns of its users.
However, the biggest gainer so far from the FTX 2.0 project is Ray. As an expert funds recovery specialist, he has already made a fortune trying to sort out the mess Sam Bankman Fried left behind.
His compensation report states his billing rate is $1,300 per hour. So far, Ray has accrued $290,160 for his recorded 223.2 hours of work with the crypto exchange.
