{"id":282256,"date":"2022-12-16T14:30:09","date_gmt":"2022-12-16T14:30:09","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=282256"},"modified":"2022-12-16T15:38:02","modified_gmt":"2022-12-16T15:38:02","slug":"what-to-expect-from-ftxs-second-bankruptcy-hearing-today","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/what-to-expect-from-ftxs-second-bankruptcy-hearing-today\/","title":{"rendered":"What to expect from FTX’s second bankruptcy hearing today; LedgerX sale, doxing creditors, custody of funds"},"content":{"rendered":"

It has been a long week for the FTX empire as its founder Sam Bankman-Fried was imprisoned in the Bahamas and set to face trial in the United States for money laundering and wired fraud charges from the SEC,<\/a> CFTC,<\/a> and SDNY.\u00a0<\/a><\/p>\n

The failed crypto exchange FTX is set to hold its second hearing before the bankruptcy court of Delaware on Dec. 16, as the judge rules on a request to redact confidential information of FTX customers.<\/p>\n

During FTX's first bankruptcy hearing<\/a> on Nov. 22, the FTX CEO John Ray said that FTX was a complete failure as FTX was grossly mismanaged. The exchange was in the control of a small group of inexperienced and unsophisticated individuals.<\/p>\n

Debtors of FTX had requested to have the personal information of investors and corporate clients redacted<\/a> for privacy reasons.\u00a0 The U.S. Trustee opposed the request, citing the need to be transparent through the bankruptcy process.<\/p>\n

Decision to dox FTX Creditors<\/h2>\n

According to the bankruptcy court's agenda for Dec. 16,<\/a> it will deliberate on FTX's request to redact certain confidential information of customers today.<\/p>\n

However, a part of the agenda stated that the FTX debtors are no longer seeking to keep the record sealed. Consequently, information on FTX creditors is likely to be doxed.<\/p>\n

\"Filing
FTX hearing filing<\/figcaption><\/figure>\n

The court will also receive objections to Bloomberg, Financial Times, New York Times, and Dow Jones's request to release all personal information of FTX creditors.<\/p>\n

The agenda added that a decision to authorize BitGo as the custodian of FTX's assets has been adjourned to Jan. 11, 2023.<\/p>\n

Additionally, the court will deliberate<\/a> on a motion to sell four FTX businesses namely FTX Japan, FTX Europe, Embed, and Ledger X, in an effort to raise liquidity to make customers whole.<\/p>\n

Court appoints Creditors Committee<\/h2>\n

In the meantime, the court has approved the appointment of FTX's Committee of Unsecured Creditors.<\/a>\u00a0 The committee will be actively involved in the bankruptcy process to represent the interest of FTX creditors.<\/p>\n

The appointed members of the creditors' committee include:<\/p>\n