The following is a market update regarding recent crypto-related market activity, provided by Liquid Meta Capital Holdings Ltd., a decentralised finance infrastructure and technology company focused on bridging the gap between traditional and decentralised finance.

Liquid Meta is still well-funded as a company. The amount of the Company’s deposits that may be returned from FTX as part of its Chapter 11 proceedings is currently unknown, but the Company intends to rigorously pursue all remedies available to it in order to recover these money. Shares of the company are still selling for a steep discount to their asset value. With no debts and a huge runway, the company is in good financial shape. The Company’s holdings are not exposed to any centralised exchanges beyond FTX at the present time. Until market worries subside, most holdings are now in large, liquid stable coinage and fiat currency.

Analysis of the Market in General

The bankruptcy filing and eventual collapse of the FTX Group (“FTX”) made headlines around the world. As a result of FTX’s demise, the company may be liable for $10 billion or more1, much of which is made up of customer deposits. Both FTX’s clients and the industry as a whole have been harmed by the current scenario, and as a result, we anticipate a range of short- to medium-term effects, from regulatory shifts to consumer uptake. While more information and reports concerning FTX will become available in the following days and weeks, we would want to use this opportunity to comment on the larger positive outcomes.

Source: Prnewswire