FTX, the bankrupt crypto exchange, has reached agreements with Evolve Bank and the Silicon Valley Community Foundation (SVCF) that could allow it to recover up to $21 million in assets. The agreements, filed in court on Oct. 30, still need court approval, with a hearing set for Nov. 20.
Evolve Bank Agreement
Before FTX’s 2022 collapse, Evolve Bank held over $13 million in three accounts for FTX's affiliate, West Realm Shires Services Inc. Initially, Evolve Bank filed a claim for the full balance to cover potential legal fees, though it hadn’t specified the costs. After negotiations, Evolve Bank agreed to return about $12.77 million to FTX, keeping $462,698.65 as indemnification. The bank also waived any other claims against FTX. This settlement, filed in Delaware’s bankruptcy court, is intended to speed up FTX’s asset recovery.
Silicon Valley Community Foundation (SVCF) Agreement
FTX reached a similar settlement with SVCF to avoid litigation and recover around $8.57 million and 34,208 FTT tokens. In December 2021, former FTX executives Nishad Singh and Caroline Ellison donated FTT tokens to SVCF. The foundation later sold part of the tokens for $13.6 million, with $5 million going to grants. Under the settlement, SVCF agreed to return the remaining $8.57 million and FTT tokens, minus administrative fees.
