Crypto exchange OKX announced on Wednesday that they are working with the FTX and Alameda bankruptcy estates to recover $157 million in frozen assets. Okcoin, an affiliate exchange, also issued a statement announcing that it would return $8.2 million.
After the collapse of FTX in November 2022, OKX stated in a release that it had looked into any transactions involving FTX that may have occurred on its exchange. Once it had identified assets and accounts connected to FTX and Alameda Research, the company took action to secure the assets and freeze the associated accounts.
OKX and Okcoin discovered FTX assets in their corporate accounts. The assets were immediately frozen by the two exchanges as they waited for the judge’s ruling.
A hacker stole $600 million from FTX’s wallets shortly after it shut down, raising concerns that FTX accounts on other exchanges may have been compromised.
With $694 million in the most liquid “Category A Assets,” which include fiat, stablecoins, bitcoin, BNB, SOL, and ether, OKX had a significant shortage in assets, according to bankruptcy attorneys working on the case in early March.
On November 11, 2022, FTX filed for Chapter 11 bankruptcy after being unable to process customer withdrawals because of a liquidity issue. Similar organisations, such as the trading house Alameda Research and FTX.US, also declared bankruptcy.
