FTX Creditors Receive Correspondence from Kroll: Claim Conversion Price List – BTC 16K/ETH 1.2K/SOL 16/FTT Excluded

Recently, several FTX creditors in Taiwan received a letter from the bankruptcy processing company Kroll. What does this thick stack of documents represent? It turns out that these are the court-approved documents regarding the “claim valuation based on bankruptcy prices” reported by Chainnews at the end of 2023. These documents include the resolution content and the claim prices of various currencies.

(
FTX cryptocurrency claim valuation based on “bankruptcy prices”, customers must submit objections before January 11th
)

Letter from Kroll

Table of Contents
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Kroll sent a summary of claim conversion prices
Extremely low claim prices
Equity tokens suffer as well: NVIDIA (NVDA) is only 179
Creditors raise objections
This court decision was submitted on December 27, 2023, agreeing to establish the liquidation prices of various cryptocurrencies in the FTX bankruptcy liquidation. (
The electronic files are also in Kroll’s document database
)

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The court stated that the debtor has the right to determine the value of the claim based on the value of digital assets and legal tender, and this value is dependent on the digital asset conversion table for any plan in Chapter 11 cases.

Since this decision is based on market prices at the time of bankruptcy to calculate the cash value that creditors can receive, it has faced opposition from many people. The prices of many currencies differ significantly from the present, except for FTT:

FTX conversion prices
January 15, 2024
BTC
16871
42590
ETH
1258
2535
BNB
286
313
SOL
16.24
95
XRP
0.37
0.57
ADA
0.34
0.53
AVAX
14.19
36.29
DOGE
0.082
0.081
TRX
0.055
0.11

If you have held equity tokens of FTX, the liquidation values of NVIDIA (NVDA), MicroStrategy (MSTR), and Coinbase (COIN), which surged last year, are also far below reality:

FTX conversion prices
January 16, 2024
NVIDIA (NVDA)
179
574
MicroStrategy (MSTR)
176
485
Coinbase (COIN)
30
130
On January 12th, some creditors filed objections with the FTX adjudicating court, arguing that the current value of these assets should be properly evaluated to maximize the interests of the creditors. They also cited the significant price recovery of SOL as an example, which should benefit the creditors.

Furthermore, they protested against the decision that considers FTT as “worthless” because FTT still has a certain market value at present, and the court has authorized the debtor to sell FTT. This is illogical and should be reconsidered.

FTX
Kroll
Bankruptcy court

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