TLDR
- FTX has filed lawsuits against NFT Stars and Kurosemi (Delysium) for failing to deliver tokens per agreements
- The exchange attempted negotiations before pursuing legal action
- FTX warns other token issuers that more lawsuits will follow if they don’t cooperate
- The second round of creditor distributions is expected to begin May 30, 2025
- These legal actions are part of FTX’s ongoing strategy to recover assets after its 2022 collapse
The bankrupt cryptocurrency exchange FTX has launched legal action against NFT Stars Limited and Kurosemi Inc. (operator of the Delysium platform) over their alleged failure to deliver tokens as required by investment agreements.
The lawsuits, filed in U.S. Bankruptcy Court in Delaware, represent an escalation in FTX’s efforts to recover assets for creditor repayments following its collapse in November 2022.
According to court documents, FTX attempted multiple non-litigation negotiations with both companies before resorting to legal action. These efforts proved unsuccessful, prompting the exchange to pursue formal legal remedies.
The FTX Estate released a statement urging cooperation from token issuers. “We urge token and coin issuers to return assets that rightfully belong to FTX, and are willing to initiate litigation barring adequate engagement,” the statement read.
In the case against NFT Stars, FTX claims it paid $325,000 in November 2021 for rights to 1.35 million SENATE tokens and 135 million SIDUS tokens. While some tokens were initially delivered, NFT Stars allegedly failed to complete further transfers after FTX filed for bankruptcy.
Details of the Claims
The Delysium complaint involves a $1 million payment made by Alameda Ventures (now Maclaurin Investment) in January 2022 for the right to receive 75 million AGI tokens. These tokens launched in April 2023 with a vesting schedule, but Delysium allegedly extended the schedule unilaterally and refused to transfer any tokens.
Court filings show that FTX’s advisors attempted to contact NFT Stars 15 times and Delysium 13 times between June 2023 and September 2024. Neither company provided a meaningful response.
The lawsuits seek immediate return of the assets, damages for breach of contract, and sanctions for alleged violations of bankruptcy protections, including those related to the automatic stay under U.S. bankruptcy law.
FTX’s legal team stated they are also engaging with several other token issuers to recover assets. The company has warned that further lawsuits will be filed against those who fail to cooperate.
These legal actions come as part of FTX’s broader recovery strategy following its dramatic collapse in 2022. The exchange filed for bankruptcy after revelations that approximately $8 billion in customer funds had been misused to cover risky bets made by FTX’s affiliated trading firm, Alameda Research.
Sam Bankman-Fried, the founder and former CEO of FTX, was convicted of fraud and conspiracy charges and sentenced to 25 years in prison for his role in the collapse.
On February 18, 2025, FTX began its initial distributions of recovered funds to creditors. The first round of payments went to holders of approved claims in FTX’s Convenience Class, which includes claims under $50,000.
FTX has announced that the next distribution record date will be April 11, with payments expected to begin on May 30, 2025. This second round will include Class 5 Customer Entitlement Claims, Class 6 General Unsecured Claims, and additional Convenience Claims approved since the initial record date.
Last month, FTX faced a setback when Three Arrows Capital’s (3AC) claim was increased from $120 million to $1.5 billion. The amendment followed new findings about 3AC’s extensive dealings with FTX and was approved despite objections from FTX.
The collapse of FTX has led to regulatory responses aimed at preventing similar situations. U.S. Senators recently proposed the PROOF Act, which would require crypto exchanges to keep customer funds separate from institutional assets and submit monthly third-party audits called “Proof of Reserves.”
