FTX Trust Sues Genesis Digital, Seeks Recovery of $1.15 Billion Investment

BlockBeats News, September 24th, according to The Block, FTX's Liquidation Trust filed a lawsuit against Bitcoin mining firm Genesis Digital Assets in a U.S. bankruptcy court, alleging that former FTX CEO SBF used commingled funds to invest $1.15 billion in the company, with $550 million flowing to co-founders Rashit Makhat and Marco Krohn. The lawsuit claims that Genesis Digital did not provide accurate financial statements and that the company's valuation was severely inflated. The FTX Trust is asking the court to recover the related funds. SBF has been sentenced to 25 years in prison for misappropriation of client assets.