Stanford University decided to return millions of dollars in donations to the bankrupt crypto exchange FTX.
FTX was a popular crypto exchange until November 2022. Following a Coindesk media report on the poor financial position of the FTX. In mid-November last year, the FTX exchange, along with more than 120 subsidiaries, filed for Chapter 11 bankruptcy in a US bankruptcy court. FTX co-founder Sam Bankman-Fried (SBF) reportedly misused customers’ money for personal benefits.
On September 19, 2023, Bloomberg reported that a spokesperson for Stanford University said the university planned to return more than $5.5 million in funding to the FTX scholarship, which was initially received from donations from the FTX Group.
Previously, this FTX issued a legal notice to all companies, foundations and closed people of SBF, such as friends, relatives, etc., who received the money from the FTX or FTX subsidiaries on behalf of SBF.
Just a few days ago, the FTX bankruptcy team sued SBF’s parents, claiming that his parents unethically received more than $20 million and an undisclosed amount of money from the FTX exchange. Through court proceedings, FTX asked the court to order SBF’s parents to return all the money to the stock exchange.
In response to the FTX’s argument, attorneys for SBF’s parents claimed that all allegations were false and that SBF’s parents never used their ties for personal financial benefits.
FTX Token (FTT)
The current trading price of the FTX token (FTT), a native token of the FTX crypto exchange, is 96% lower than its trading price over the past year.
Over the past 12 months, the trading price of the FTT token has increased by 10-20% three times on several occasions, following rumors of possible opportunities for a relaunch plan of the FTX exchange.
Also read: SEC chief confirms “more enforcement actions against crypto companies”