Wednesday, November 30, 2022
HomeCryptomillions of dollars worth of digital assets have been recovered

millions of dollars worth of digital assets have been recovered

Since the giant’s bankruptcy, $740 million in digital assets have been recovered by FTX and are now stored in cold wallets.

After the hack came hours after FTX went bankrupt, millions of users wondered if they would ever get their money back. According to a court document filed Wednesday, $740 million in digital assets was recovered by FTX after its collapse. It is the specialized company BitGo, which was responsible for storing these assets in “cold wallets” (cold wallets), during the bankruptcy procedure.

“Cold wallets are digital wallets that are stored on platforms that are not connected to the Internet and therefore protect the digital assets therein from hacking, unauthorized access and other vulnerabilities that Internet-connected systems are susceptible to,” the document states.

$100,000 a month

According to the court document, FTX and BitGo reached an agreement in principle on November 13, two days after the giant filed for bankruptcy. It was on November 16 that the fortune was transferred to cold wallets. And all this costs FTX, which has to pay $100,000 a month to keep the assets warm.

Also according to this document, other assets appear to have been recovered and should also be transferred to BitGo.

“As debtors plan to transfer additional digital assets to the custodian’s custody as the process of investigation and asset recovery continues, the monthly fees owed may increase as the value of the assets increases. Digital assets held in the custodian’s wallets increase ,” document read.

FTX “will continue to investigate and attempt to recover lost or stolen assets during the course of the bankruptcy, and the company’s attorneys note that this may increase the number of assets in its custody,” confirms The block.

Objections to the agreement between FTX and BitGo are due on December 7, a week before the second hearing in federal court in Delaware.

BitGo is also known for storing assets of trading platform customers Mt Gox bankrupt since 2014. Mt Gox customers must get their funds back next year.

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