SBF pushes FTX restart idea by issuing FTT tokens to creditors

FTX erstwhile CEO Sam Bankman-Fried supports restarting the bankrupt speech by issuing caller FTT tokens to creditors and giving 100% profits to token holders.

I proceed to deliberation that this would beryllium a productive way for parties to explore! I *hope* that the teams successful spot volition bash so.

— SBF (@SBF_FTX) December 9, 2022

Crypto Trader big Ran Neuner archetypal projected the thought connected Dec. 9, adding that it would marque the caller speech the “biggest speech successful the world.”

In response, SBF tweeted that helium thinks “that this would beryllium a productive way for parties to explore.”

Crypto assemblage criticizes SBF’s restart idea

However, the crypto assemblage has criticized the thought and SBF’s support. Several users commented that SBF would beryllium spending his clip behind bars regardless of what happens to FTX.

Others besides condemned Neuner’s suggestion, describing it arsenic a Ponzi strategy thought successful which the wealth of caller users volition beryllium utilized to repay the creditors. Some users asked how overmuch helium was paid to marque specified a recommendation.

Given that you've already allocated 100% of the profits, wherever would the wealth to physique specified a happening travel from?

— David "JoelKatz" Schwartz (@JoelKatz) December 9, 2022

FTT played an integral relation successful the moving of FTX. At its peak, the token had a marketplace headdress of implicit $9 billion.

Meanwhile, reports that the token formed a important information of FTX’s assets triggered a slope tally that led to the eventual insolvency of the exchange. Since then, FTT has crashed by implicit 90%.

According to CryptoSlate data, FTT has risen by 30% successful the past 24 hours.

The station SBF pushes FTX restart thought by issuing FTT tokens to creditors appeared archetypal connected CryptoSlate.