According to a recent report by Bloomberg Law, FTX, the defunct crypto exchange previously led by Sam Bankman-Fried, has agreed on a settlement with the IRS concerning a $24 billion tax claim.<\/p>\n
The settlement permits FTX to pay a reduced sum to the IRS, leading the way for the exchange to disburse significant recoveries to its customers.<\/p>\n
FTX will pay the IRS $200 million within 60 days of executing the proposed restructuring plan as part of the settlement terms detailed in a filing with the US Bankruptcy Court for the District of Delaware. Additionally, the IRS will receive a subordinate claim of $685 million, paid based on fund availability.<\/p>\n
This resolution alleviates potential extended legal disputes between the crypto exchange and its main creditor, streamlining the bankruptcy process and facilitating customer fund distribution.<\/p>\n
FTX had expressed concerns that upholding the IRS claim could impede customer fund reimbursements, making this settlement crucial for the exchange’s progress in bankruptcy proceedings.<\/p>\n
FTX has pledged full repayment to customers, ensuring a minimum 118% cash repayment for 98% of customers, as disclosed in a recent press release. The company has garnered between $14.5 billion to $16.3 billion through asset sales to fund repayments.<\/p>\n
Approval of the settlement is conditional on a bankruptcy judge and successful implementation of FTX’s broader restructuring plan, post which it will come into effect.<\/p>\n
This agreement represents a significant stride in FTX’s bankruptcy resolution, allowing the exchange to concentrate on reorganization and meeting its obligations to customers and creditors.<\/p>\n
<\/p>\n
FTX’s native token FTT is currently trading at $1.60, aligning with the market trend, showing a 3% surge in the last 24 hours.\u00a0<\/p>\n
Image source: Shutterstock, chart by TradingView.com<\/p>\n","protected":false},"excerpt":{"rendered":"
According to a recent report by Bloomberg Law, FTX, the defunct crypto exchange previously led by Sam Bankman-Fried, has agreed on a settlement with the IRS concerning a $24 billion tax claim. The settlement permits FTX to pay a reduced sum to the IRS, leading the way for the exchange to disburse significant recoveries to […]<\/p>\n","protected":false},"author":1,"featured_media":13205,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"slim_seo":{"title":"FTX Resolves $24B IRS Claim, Funds Unlocked for Customer Repayment - Bitrabo","description":"According to a recent report by Bloomberg Law, FTX, the defunct crypto exchange previously led by Sam Bankman-Fried, has agreed on a settlement with the IRS con"},"footnotes":""},"categories":[316],"tags":[4596,829,4597,830,1183,831,3542,1927,3659,460],"class_list":["post-13204","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","tag-24b","tag-claim","tag-compensation","tag-customer","tag-ftx","tag-funds","tag-irs","tag-massive","tag-settles","tag-unlocking"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts\/13204","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/comments?post=13204"}],"version-history":[{"count":0,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/posts\/13204\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/media\/13205"}],"wp:attachment":[{"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/media?parent=13204"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/categories?post=13204"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bitrabo.com\/discover\/wp-json\/wp\/v2\/tags?post=13204"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}