The FTX Bankruptcy Estate or FTX Estate has been trying to salvage whatever it can since the collapse. The entity has recently staked over 5.5 million Solana (SOL) tokens worth $122 million. Based on the on-chain data from SolanaFM, FTX did it with a prominent validator Figment. More importantly, this update surfaced when speculations were rife about the estate’s handling of its holdings.
FTX’s Strategic Staking of Solana Tokens
Not surprisingly, the FTX’s management is already selling off its significant holdings. However, rumors of getting rid of Solana tokens feared the investors about SOL’s value. Thankfully, FTX’s going against popular belief allayed the fears of many people. It also made clear that the bankrupt exchange is going bullish on the long-term prospects of Solana. The news had its impact on the SOL’s price. It recorded a surge of 2.08% and traded at $21.96.
Asset Recovery Status Quo
On September 11, 2023, the FTX estate divulged some details about its recovery process. It told the court that the firm had successfully recovered assets worth $7 billion. And if one’s wondering, it includes the staked SOL tokens as well. Reportedly, the value of Solana tokens in this lot is over $1 billion. It also includes a sizable holding of Bitcoin (BTC) worth $560 million.
The filing also revealed information about additional asset classes. Notably, this comprises $1.9 billion in illiquid assets and 200% million in real estate holdings in the
Bahamas. This information disclosed FTX estate’s asset recovery and management efforts. It also highlighted their substantial financial holdings. It should be noted that SBF is still duking the fraud charges out in court.
Still, the staking move shows that the company still wants to keep its investments. Apparently, it has also got some market observers excited about the estate’s future moves.
What Makes Solana a Major Driver in Crypto Markets?
In the past few years, the Solana token has shown tremendous progress. Recently, it has been in the news for positive things, mostly. It recently rolled out the Bug Bounty Program that included a cash prize of $400k. The reward was for the person who could find a bug in Solana’s codebase. Jacob Creech, the head of developer relations at Solana revealed it in his X (formerly Twitter) post.
Furthermore, there was an additional reward of $100k for anyone who could execute a DoS attack on the network. On top of all that, there’s a $1 million reward for the person who could exploit security flaws in Solana. In another interesting development, the network revealed all its gains from the price surge. That’s because the previous week, the token witnessed a slump of over 9%. In fact, the SOL price was trading laterally throughout September.
The good news is, Solana is still continuing its bull run. Even if the price falls, the network is prepared to test the resistance level of $22.43. So it seems the SOL investors have nothing to worry about right now.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/10/15/ftx-estates-assures-investors-by-staking-122m-solana-tokens/