FTX Trading Ltd. defended its proposal to peg the value of digital assets held by the trading platform’s customers to the time it filed for bankruptcy, fending off objections that the methodology unfairly neglects a recent spike in cryptocurrency prices.
Customers of the platform lost access to their cryptocurrency trading accounts when FTX collapsed into bankruptcy over a year ago, leaving traders unable to withdraw whatever assets they held at the time. To compensate them, the FTX estate has proposed distributing cash recoveries based on a dollarized value for each digital token traded on the site — pegged to what ...
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