Miguel Cordon · · 1 min readFTX to retrieve $404m in settlement with investment fund Modulo
FTX will be getting back US$404 million in funds as part of a proposed settlement, Bloomberg reported, citing a bankruptcy document.
The amount was allegedly moved by founder Sam Bankman-Fried to investment fund Modulo Capital, which was founded early last year by his acquaintances Xiaoyun Zhang and Duncan Rheingans-Yoo. According to the report, the fund received US$475 million in 2022 before FTX entered bankruptcy.
The settlement deal would see US$460 million in recovered assets. This includes US$404 million in cash and Modulo letting go of its claims against FTX for US$56 million.
The failed crypto exchange said that Modulo has no other funds to repay the amount. US bankruptcy judge John Dorsey will decide if the settlement is approved.
A leaked screenshot of the portfolio of FTX affiliate Alameda Research showed that it poured at least US$400 million into Modulo late last year.
Editing by Thu Huong Le and Lorenzo Kyle Subido
(And yes, we’re serious about ethics and transparency. More information here.)
Stay updated on the go with our mobile app.
Get latest insights with smoother, more personalized experience through TIA mobile app.
