FTX settles lawsuit against Bybit for $228 million

The FTX bankruptcy estate has agreed to a $228 million settlement with Bybit exchange in a lawsuit filed in 2023.
According to legal documents released on the 24th, as a result of this agreement, FTX will receive $175 million in assets held by Bybit.
The digital assets will then be available to be recovered and the BIT tokens, worth approximately $53 million, will be sold to Mirana, the investment arm of the Bybit exchange.
The lawsuit was filed by the FTX Foundation seeking to recover funds owed to FTX former customers and creditors in 2023.
FTX previously filed a billion-dollar lawsuit against Bybit and Mirana, using its VIP access and close ties to FTX management to
The company claimed to have pre-withdrawn approximately $327 million worth of digital assets and cash just before FTX collapsed.
FTX's lawyers said: "Plaintiffs' claims for restitution, violations of the automatic stay, fraud and preferential treatment are the subject of indictments.
"The claims for transfer are arguable, carry certain risks and, in any event, further litigation would be time-consuming and costly."
The settlement is subject to court approval and a hearing for settlement approval between the parties is currently underway.
The event is scheduled to begin at 2 p.m. Eastern Time on November 20th.