FTX seeks to claw back over $240 million from Embed acquisition

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FTX seeks to claw back over $240 million from Embed acquisition
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NEW YORK : Bankrupt crypto exchange FTX is seeking to claw back more than $240 million it paid for stock trading platform Embed, saying former FTX insiders did no investigation before buying the essentially worthless bug-ridden software platform. FTX filed three lawsuits late Wednesday in U.S. Bankruptcy

NEW YORK : Bankrupt crypto exchange FTX is seeking to claw back more than $240 million it paid for stock trading platform Embed, saying former FTX insiders did no investigation before buying the essentially worthless bug-ridden software platform.

FTX closed on the Embed acquisition just six weeks before the crypto exchange collapsed into bankruptcy in November. FTX lost billions in customer money while propping up its own risky investments, actions its current CEO John Ray called"old-fashioned embezzlement." FTX intended to use Embed's software to add stock trading to its crypto exchange platform, but Embed's software was"essentially worthless," the lawsuits said. FTX performed almost no investigation of Embed and"prioritized speed over all else," they added.

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