Hodlnaut’s Bid for Survival, Selling Firm, and FTX Claims to Potential Buyers
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Hodlnaut, a Singapore-based crypto firm that collapsed following huge exposure to the Terra Luna UST, is reportedly in serious talks with potential buyers to liquidate remaining assets. According to a report by Bloomberg, potential buyers have contacted the appointed interim judicial managers to inquire about Hodlnaut’s crypto assets including claims against the collapsed crypto exchange FTX.
“Various parties who are interested in acquiring Singapore-based Hodlnaut’s crypto platform and FTX claims have contacted the interim judicial managers overseeing the company after it sought protection from creditors,” an affidavit seen by Bloomberg noted.
Reportedly, Hodlnaut’s FTX accounts held 514 Bitcoin, 1,395 Ether, 280,348 USD Coin
USDC tokens and 1,001 FTX (FTT) tokens. Hodlnaut held more than $18 million worth of digital assets on centralized exchanges like FTX, Deribit, Binance, OKX, and Tokenize according to court documents.
Despite holding substantial assets worth restructuring and reopening the company, Hodlnaut’s creditors rejected the bid by requesting immediate liquidation. As such, the interim judicial managers have been conducting close talks to liquidate the available Hodlnaut assets.
Potential buyers are inquiring about the struggling crypto lender Hodlnaut and its claims against bankrupt digital-asset exchange FTX https://t.co/5gZ2V2Jmwc
— Bloomberg Crypto (@crypto) February 6, 2023
Demise of Hodlnaut
Co-founded by Juntao Zhu and Simon Lee in 2019, Hodlnaut provided crypto interest-earning services of up to 7.25 percent in APY. At its closure, the company indicated that it held approximately $250 million for its over 10k customers. The company advertised weekly payouts and instantaneous withdrawals, which attracted unsuspecting customers.
With the $45 billion Terra Luna collapse pending to be solved and unlikely to get closure soon, the Hodlnaut creditors have lost hope of ever getting compensated by the Do Kwon team. As such, the Hodlnaut creditors seek to liquidate the existing assets and absorb the remaining losses.
Filed under: Bitcoin - @ February 6, 2023 1:03 pm