FTX Creditor Names to Remain Sealed: Judge Grants Temporary Anonymity in Bankruptcy Case
The names of up to nine million FTX customers are set to remain confidential for at least three more months following the latest ruling in FTX bankruptcy. In a significant decision, a Delaware bankruptcy judge has granted a preliminary request to maintain the anonymity of creditors in the FTX bankruptcy case. Judge John Dorsey ruled Wednesday that FTX could withhold the names from public disclosure for another three months, noting that it’s still unclear how many of the creditors there are.
A ruling by Judge John Dorsey in a Delaware bankruptcy court has ensured that the names of customers of FTX will remain confidential. The decision allows FTX to continue keeping customer information confidential, which the judge argued is essential for protecting the assets of the estate and its value. Multiple media outlets suggest this measure is crucial for preventing potential exploitation or targeting of FTX customers during the complex bankruptcy proceedings.
The names of FTX creditors are allowed to be kept sealed and private for one to three months, according to a Delaware bankruptcy judge. A Delaware bankruptcy judge on Wednesday allowed a list of creditors for FTX to remain sealed for at least another three months. While the fight for transparency continues, this temporary reprieve offers a layer of protection for FTX's extensive customer base, allowing the bankruptcy process to proceed without potentially compromising sensitive information. However, the judge noted that more information on the company's practices would be needed going forward.