Cooperation Agreement Announced by FTX Debtors and FTX DM (Bahamas)

The Joint Provisional Liquidators (Brian Simms, K.C., Peter Greaves, and Kevin Cambridge) and FTX Trading Ltd. (d.b.a. FTX.com), and its affiliated debtors (collectively, the “FTX Debtors”), today announced their agreement on terms for reciprocal cooperation in the chapter 11 cases of the FTX Debtors in Delaware and the provisional liquidation of FTX DM in The Bahamas.

According to the cooperation agreement, the parties will start working together to share information, secure and return property to their estates, plan lawsuits against third parties, and investigate tactical options for maximizing shareholder recovery. The terms for include FTX DM in chapter 11 cases and including the FTX Debtors in proceedings in The Bahamas have been agreed upon by the parties. The parties also agreed on a process to confirm the inventory of digital assets under the control of the Securities Commission of The Bahamas in the Fireblocks account that had been previously disclosed by the FTX Debtors. This process would be operationally led by the JPLs and supervised by courts in both jurisdictions, as well as the disposition of real estate in The Bahamas.

As the parties continue to explore a reorganization, each party is certain that the Securities Commission has properly protected the digital assets.

John J. Ray III, the Chief Executive Officer and Chief Restructuring Officer of the FTX Debtors, said:

“We would like to thank all of the Joint Provisional Liquidators of FTX DM for constructive meetings this week in Miami and all their work on behalf of their estate. There are some issues where we do not yet have a meeting of the minds, but we resolved many of the outstanding matters and have a path forward to resolve the rest.”