Earlier this week, the fall in the price of bitcoin was tied back to bankruptcy disclosures from FTX showing that it had nearly $7 billion worth of assets, including about $560 million in bitcoin.
Today the court approved the liquidation of holdings. The dollar value in bitcoin isn't particularly troublesome for the market but there is $1.1 billion in solana and if that's not handled carefully, it could be ugly. It's about 16% of the overall supply.
In its liquidation proposal, FTX would not have to issue advance notice of sales, though would have to alert the trustee privately.
It's unclear how much creditors of FTX will recover but the lawyers are surely having a heyday. Its total assets, including $200m in real estate are valued at $2.2 billion.
Sam Bankman-Fried's trial is set to begin October 3.
