Yet, FTX, playing a strategic legal chess game, argued that BlockFi’s grip on these assets was not legally sound. The recent twist? FTX reported that they had reached an agreement with BlockFi, ensuring that if BlockFi’s claims were validated, they would have a stake in the sale proceeds.
The Lone Challenger and the Court’s Ruling
Adding to the drama, a solitary FTX customer, John Mallon, stepped forward, asserting his rights to the trust shares through tokens he had bought. FTX, however, held its ground, stating these tokens did not confer ownership but rather a claim to the proceeds from the trust asset sales.
In a decisive move, Judge Dorsey overruled Mallon’s objection, likening it to navigating through a legal storm, and concluded that the sale aligns with the best interests of the estate, even amidst the ownership dispute.
FTX Gets Approval To Put $744M In Crypto : Legal Titans at the Helm
This legal odyssey has seen a congregation of legal eagles. Representing FTX are Adam G. Landis, Matthew B. McGuire, and their esteemed colleagues from Landis Rath & Cobb LLP, along with a team from Sullivan & Cromwell LLP. On the other side, BlockFi’s legal battalion includes Kenneth J. Aulet, Jeffrey L. Jonas, and allies from Brown Rudnick LLP, Gellert Scali Busenkell & Brown LLC, and Haynes and Boone LLP.
