FTX has filed documents stating its plan to sell its subsidiary, Digital Custody Inc (DCI), to CoinList for $500,000, a fraction of its initial purchase price of $10 million in 2021. This move comes as part of FTX’s efforts to improve liquidity and repay its numerous creditors.
The restructuring advisor for FTX, Alvarez & Marshal, deems the sale price reasonable given the current market conditions. One creditor, known as Sunil, echoed this sentiment on social media, highlighting the value of DCI’s license from South Dakota for custody services.
While FTX continues its restructuring and bankruptcy proceedings, there’s anticipation around creditor voting on the proposed plan. However, some in the crypto community express concerns about the potential impact on asset prices due to the proposed liquidation of a significant portion of crypto holdings.