Key facts
- FTX Recovery Trust started a new $900 million distribution to creditors.
- This payout is the fifth distribution since FTX's 2022 bankruptcy.
- Roughly $11 billion has been returned to customers in total.
- Citadel reportedly acquired a significant portion of Situational Awareness' stock portfolio.
- Coinkite issued a warning for Coldcard Mk3 users regarding potential seed generation vulnerabilities.
- Bitcoin security specialists are investigating a large, coordinated sweep of BTC from single-signature addresses.
Former FTX users began receiving funds on Friday as the FTX Recovery Trust initiated a new $900 million distribution to creditors. This marks the fifth payout since FTX's 2022 bankruptcy, bringing the total estimated repayments to approximately $11 billion. Users, including former customer Sunil Kavuri, confirmed receiving assets through partners like Kraken.
In a separate development, Citadel reportedly acquired a substantial portion of the public stock portfolio of Situational Awareness, a hedge fund founded by former OpenAI researcher Leopold Aschenbrenner. This acquisition followed a significant downturn in Aschenbrenner's fund, which reportedly fell about 67% in July amid an artificial intelligence stock market sell-off, despite remaining up approximately 80% for the year.
Additionally, Canadian Bitcoin hardware maker Coinkite has issued a warning to users of its Coldcard Mk3 signing device. The company advised affected users to migrate funds due to a potential vulnerability identified in specific firmware versions (4.0.1 through 5.0.3) that could put generated seed phrases at risk. This warning comes as Bitcoin security specialists investigate a coordinated sweep of 594.48 BTC from single-signature addresses, though no definitive link to the Coldcard issue has been established.