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Bitmain-Backed Crypto Mining Company Among Creditors Of Sam Bankman-Fried’s FTX

Singapore-based Bitfufu, backed by Chinese mining giant Bitmain, has filed claims for $11.7 million against crypto exchange FTX, which has revealed it owes more than $3 billion to its biggest creditors as its bankruptcy proceedings begin. come on

The claims were filed last week by Bitfufu’s subsidiary Ethereal Tech, according to Kroll, a US restructuring administration firm hired by FTX. The company is among 13 unsecured creditors who have so far filed claims against the collapsed crypto empire founded by former billionaire Sam Bankman-Fried.

Founded in 2020 with investment from Bitmain, founded by crypto pioneer Jihan Wu, Bitfufu is led by former members of the company. The startup, which offers services including sales, rental and hosting of bitcoin mining machines, announced in January that it was merging with a special purpose acquisition company to go public in the US at a valuation of $1.5 billion .

Bitfufu did not immediately respond to a request for comment.

MORE FROM FORBESThe fall of FTX

A bankruptcy court filing Saturday shows FTX owes its 50 largest unsecured creditors about $3.1 billion; the filing did not name the creditors. FTX previously disclosed in separate filings that it may have more than 1 million creditors across its various entities.

FTX and its affiliates filed for US bankruptcy protection on November 11 in one of the biggest explosions in the cryptocurrency industry. John J. Ray, the company’s newly appointed CEO who presided over the Enron bankruptcy, said in the filings that he had never seen “such a complete failure of corporate controls and such a complete absence of reliable financial information. “

The failed crypto exchange said on Saturday it had begun a review of its global assets and was preparing to sell or reorganize certain businesses. A court hearing of FTX before a US bankruptcy judge is set for Tuesday.

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