The law and consultancy firms that assist FTX in its bankruptcy proceedings charged the cryptocurrency exchange a staggering sum of $103 million in Q1 2023 alone. The list of firms includes Sullivan & Cromwell, Alvarez & Marsal, AlixPartners, Quinn Emmanuel Urquhart & Sullivan And Landis Rath & Cobb. Bills from these companies rose steadily, from $34.2 million in January to $36.4 million in March.
Sullivan & Cromwell’s lion’s share
The New York-based law firm, Sullivan & Cromwellgot the biggest payout, billing to FTX $14.1 million for the month of March and accumulating a total of $44.4 million in the first quarter. Partners at the firm earned an hourly rate of $2,165, while paralegals and legal analysts earned $425 and $595 per hour, respectively.
The important role of Alvarez & Marsal
Just behind Sullivan & Cromwellthe consulting firm Alvarez & Marsal billed more than $13.8 million in March for its contributions to actions avoidance, financial analysis and accounting procedures. It’s about third consecutive month with billings above 10 million dollars for the firm, which serves as a restructuring advisor to FTX since the platform filed for bankruptcy on November 11.
Other firms and their contributions
Quinn Emmanuel Urquhart & Sullivan And Landis Rath & Cobb, two other law firms involved in the FTX case, billed the platform $3.19 million and $644,000, respectively, in March. During the first quarter, their totals reached $7.3 million and $1.9 million. Landis Rath & Cobb, who serves as special counsel to FTX, has primarily focused on legal proceedings and litigation. In total, more than 180 lawyers from these firms have been assigned to work on the FTX folder.
AlixPartners, a forensics consulting firm, submitted its highest bill of $4.51 million in March, bringing its first-quarter total to $10.2 million. The main responsibility of the firm was to analyze the products of the decentralized finance and tokens in possession of FTX.
FTX could recover more than $2 billion held by Binance.
— Coin Academy (@coinacademy_fr) April 29, 2023
FTX could recover more than $2 billion held by Binance.Potential takeover of FTX
Despite the significant challenges FTX has faced over the past six months, the exchange has yet to throw in the towel. The legal team of FTX has recouped $7.3 billion fromassetsand is considering a potential restart of the platform trading from April 2024.
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