FTX sues KuCoin to recover $50 million in withheld assets

Bankrupt crypto exchange FTX has filed a lawsuit to recover over $50 million in assets allegedly withheld by KuCoin, according to court documents filed on Oct. 28.

The assets were reportedly held in a KuCoin account belonging to the now-defunct Alameda Research, which filed for Chapter 11 bankruptcy in November 2022
FTX’s allegation
In its lawsuit, FTX claimed that KuCoin locked access to these unnamed assets shortly after the bankruptcy proceedings began. At the time, the account held assets valued at around $30 million, rendering the bankrupt firm’s management team unable to access them.

Despite repeated requests—including direct communications with KuCoin’s CEO and legal representatives—FTX noted that KuCoin has refused to release the assets.