Caroline Ellison agrees to hand over her remaining assets to settle the lawsuit with the FTX bankruptcy estate

On October 7, 2024, Caroline Ellison, the former CEO of Alameda Research, has agreed to hand over the bulk of her remaining assets to settle a lawsuit filed by the FTX bankruptcy estate. This settlement aims to recover over $30 million in bonuses and equity transfers given to Ellison.

This settlement is a part of the reorganization plan approved by a U.S. bankruptcy judge, which aims to recover assets for the benefit of creditors affected by the collapse of FTX.

Caroline Ellison's agreement to transfer "substantially all of her assets" not otherwise forfeited to the government or used to pay legal fees marks a pivotal moment in the case.

The sentencing of Caroline Ellison to two years for her role in the collapse of FTX, which caused users to lose billions of dollars, and the nearly 25-year sentence handed down to Sam Bankman-Fried, indicating the severity of FTX bankruptcy.