TLDR
- Sam Bankman-Fried’s X account posted “gm” on September 23, managed by a friend while he serves 25 years in prison
- FTX Token (FTT) surged 20% following the social media post despite SBF having no involvement
- FTX creditors receive $1.6 billion in bankruptcy payments starting September 30, the third major distribution
- Total FTX bankruptcy recoveries now exceed $6 billion with U.S. customers reaching 95% recovery rates
- The convicted FTX founder was sentenced for fraud after misusing billions in customer funds
The collapsed crypto exchange FTX continues making headlines as its founder’s social media activity coincides with major bankruptcy developments. Sam Bankman-Fried’s X account posted a simple “gm” message on September 23, instantly generating millions of views and market reactions.
The two-letter crypto greeting sparked immediate responses across social media platforms. Industry figures expressed confusion and criticism about the post from the imprisoned exchange founder.
Bankman-Fried’s account clearly states it is “shared by a friend” and includes his prison mailing address. The convicted crypto executive serves a 25-year sentence at FCI Terminal Island in California for fraud and conspiracy charges.
The social media activity drove the FTT token price up 20% within hours. This market movement occurred despite clear evidence that Bankman-Fried had no direct control over the account posting.
FTX Bankruptcy Reaches New Milestone with $1.6B Distribution
FTX creditors are set to receive another $1.6 billion starting September 30 through the third major bankruptcy distribution. BitGo, Kraken, and Payoneer will process payments to verified accounts within three business days.
U.S. customers will receive 40% in this round, bringing their total recovery to 95%. International “dotcom” customers will see recoveries reach 78% with a 6% increase in this distribution.
Unsecured and loan claims receive 24%, raising total recoveries to 85%. Some convenience claims are being paid above face value at 120%.
The FTX bankruptcy estate has now returned more than $6 billion to creditors since the exchange’s November 2022 collapse. Billions more remain tied up in ongoing asset recovery efforts through legal proceedings.
Market Reaction Highlights Ongoing FTX Interest
The FTT token’s 20% price spike demonstrates continued market interest in FTX-related news. Trading volumes increased as the social media post spread across crypto communities.
Some observers viewed the account activity as a publicity stunt while others dismissed it entirely. Analyst Conor Grogan suggested it might be part of a “PR campaign to get Sam pardoned.”
Bankman-Fried was convicted in November 2023 after prosecutors proved he misused billions in customer deposits. The funds were allegedly used for risky investments at Alameda Research, political donations, and personal expenses.
The latest FTX bankruptcy distribution continues the court-supervised process to compensate victims of one of crypto’s largest exchange failures.
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