The bankrupt cryptocurrency exchange, FTX, has received approval from the bankruptcy court to sell off its shares in the artificial intelligence firm, Anthropic, boosting its coffers by potentially over $1 billion. The already substantial cash pile of the collapsed company, reportedly around $6.4 billion, is set to rise significantly following the sale.
FTX held an 8% stake in Anthropic, marking it as one of the defunct crypto firm’s most significant assets. Bloomberg Law reports that the decision to authorize the sale of these shares was given by U.S. Bankruptcy Judge John Dorsey.
During the latter part of last year, conversations surrounding Anthropic raising $750 million surfaced. It was speculated that the AI company was being valued at an impressive $18.4 billion. However, news recently broke suggesting that the firm raised funds at a valuation closer to $15 billion. In light of these figures, FTX’s stake in the company could comfortably exceed $1 billion.
The forthcoming sale of this stake will play a vital role in paying off FTX’s creditors, with the company’s financial downfall having repercussions on a host of involved parties. The impending liquidation of this significant asset marks important progress in mitigating the bankruptcy’s impact on these stakeholders.
The court’s sanctioning of this sale underpins the ongoing legal complexities of resolving large-scale corporate bankruptcies and the subsequent reallocation of assets. For legal professionals offered a window into the breadth of considerations and decisions involved in managing the fallout of a major company’s collapse.