🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Bank To The Future Founder Shares Insights On Crypto Claim Pricing

Published 11/04/2023, 15:51
Updated 11/04/2023, 16:15
Bank To The Future Founder Shares Insights On Crypto Claim Pricing
IX
-

  • Bank To The Future founder highlights cryptocurrency claim pricing and credit protection for debtors.
  • FTX, Celsius, Voyager, BlockFi, Genesis, and 3AC offer varying percentage bids for Chapter 11 claims.
  • Genesis Global charges the highest among contenders, demanding 50% to 55% for claims worth $5+ million.

Bank To The Future founder Simon Dixon posted a tweet highlighting the cryptocurrency claim pricing and credit protection for debtors in the market at present. “This is what a Chapter 11 claim exchange sent me asking if I want to invest in any of the Chapter 11 claims.,” says the finance expert.

Dixon’s tweet has revealed the interest of sophisticated investors in Chapter 11 claims. The tweet includes a screenshot of a claim exchange request, offering investment opportunities in claims related to various companies, such as Celsius, Voyager, FTX, BlockFi, Genesis, and 3AC.

For context, Chapter 11 is a bankruptcy filing that allows companies to reorganize their debts while still operating. Creditors can file claims for the money they’re owed by the bankrupt company.

According to the image shared by Dixon, FTX Trading Ltd. asks for 25% to 28% for claims over $5 million. Meanwhile claims within $1 million to $5 million bid for 20% to 25%, and claims under $1 million ask for 18% to 21%.

Similarly, Celsius Network asks for 22% to 26% and 20% to 24% for claims over $5 million and within $1 million to $5 million, respectively. Claims under $1 million, go for bids around 20% to 24%.

Voyager Digital Holdings ask for 20% to 25% for claims over $5 million. Moreover, Voyager charges 20% to 24% for claims ranging from $5 million to $1 million, while asking for 20% to 25% when it comes to claims below $1 million.

In comparison, BlockFi Inc.’s asks are more reserved. For instance, it asks 15% to 18% for claims above $5 million, within $5 million $1 million, and under $1 million.

3AC Loans are also in the same boat with a consistent bid of 7% to 9% for all three aforementioned categories.

However, Genesis Global charges the highest among its contenders demanding 50% to 55% for claims worth $5+ million. Additionally, claims within $1 million and $5 million get charged a bid between 45% to 50%.

The post Bank To The Future Founder Shares Insights On Crypto Claim Pricing appeared first on Coin Edition.

Read more on Coin Edition

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.