Court: FTX spent $400 million on the acquisition of its European branch
According to the legal team trying to return FTX investor funds through court actions, the failed crypto exchange spent nearly $400 million acquiring Swiss company Digital Assets AG (DAAG), which became FTX Europe. Now the plaintiffs are looking for a refund of the money spent on the acquisition by Sam Bankman-Fried (SBF) and his associates.
The complaint for avoidance and recovery of transfers was filed to the United States Bankruptcy Court for the District of Delaware on July 12. The plaintiffs state that SBF acquired DAAG through Alameda Research for $376 million, even though the Swiss company had limited business and no intellectual property other than a business plan. FTX executives’ goal was to obtain access to European regulators by owning a local company.
