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FTX Shares in Anthropic Sold Out as Final $450 Million Sale is Completed

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FTX, the bankrupt cryptocurrency exchange, has successfully sold all of its shares in the artificial intelligence company Anthropic for $450 million. This sale, aimed at maximizing creditor repayment, brings the total amount received from FTX’s initial investment to close to $1.3 billion, with profits of around $800 million. The biggest buyer of the shares was G Squared, a global venture capital fund, which purchased 4.5 million shares for $135 million. The remaining shares were sold to other venture capital funds at the same price of $30 per share. This is the second sale of FTX shares in Anthropic, with the first sale also fetching $30 per share back in March.

The liquidation of FTX shares in Anthropic is part of a larger effort to maximize repayment to creditors. The sale of the remaining 15 million FTX shares was approved by the US District Court for the District of Delaware’s Supreme Bankruptcy Court within weeks. FTX CEO John Ray III, who heads the FTX Estate, charged the estate $5.6 million for his services at a rate of $1,300 per hour. The estate’s approach reflects its commitment to repaying creditors and resolving the bankruptcy as soon as possible.

The FTX bankruptcy has incurred over $700 million in legal and administrative fees. The main law firm handling the bankruptcy, Sullivan & Cromwell, has faced criticism over potential conflicts of interest, as it has represented FTX in the past. The law firm has had to defend against calls for an independent examiner and a class-action lawsuit. Despite these challenges, FTX has managed to gather $16.3 billion in cash for distribution to creditors, far exceeding the $11 billion owed to approximately two million customers and other creditors.

FTX has plans to repay at least 118% of the allowed claims, which is considered an unprecedented feat in US bankruptcy proceedings. The exchange is dedicated to ensuring that creditors are paid back in full, despite the steep legal and administrative costs associated with the bankruptcy process. The FTX Estate, under the leadership of CEO John Ray III, is working diligently to expedite creditor repayment and bring the bankruptcy proceedings to a swift resolution.

In conclusion, FTX’s decision to sell its shares in Anthropic for $450 million marks a significant milestone in the bankruptcy process. The sale is part of an effort to optimize creditor repayment and bring closure to the bankruptcy proceedings. Despite facing significant legal and administrative fees, FTX has managed to secure $16.3 billion in cash for distribution, exceeding the amount owed to creditors. The estate’s commitment to repaying creditors and resolving the bankruptcy as quickly as possible reflects its dedication to honoring its financial obligations. By working towards repaying at least 118% of the allowed claims, FTX is setting a new standard for bankruptcy proceedings in the United States.

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