Ethereum News Today: FTX Stakes $79M Ethereum to Generate Yield for Creditors

FTX and Alameda Research have staked approximately $79 million worth of Ethereum (ETH) into Ethereum’s Proof-of-Stake (PoS) network during their ongoing bankruptcy proceedings, marking a strategic move to generate yield for creditors. The staking occurred on July 31, 2025, involving 20,736 ETH, and was executed within a single hour [1]. This action followed a significant withdrawal of $75.3 million in ETH from Bybit between December 2024 and January 2025, suggesting a broader effort to reallocate assets [2].

The staking is part of a larger strategy to manage the FTX estate ahead of a scheduled $1.9 billion creditor payout on September 30, 2025. The funds are being deployed under court-approved procedures to ensure compliance and maximize returns. Institutional custodians have facilitated the transfer, in line with prior similar moves from other insolvent crypto firms, such as Celsius, which also staked assets during its own insolvency process [3].

FTX and Alameda had previously unstaked over 3 million Solana (SOL), valued at about $431 million, in March 2025. Some of those unstaked tokens were later moved to Binance, raising speculation about potential liquidation plans [4]. These actions indicate a deliberate attempt to convert high-value token holdings into more liquid or yield-generating positions, all while adhering to court-imposed limits on asset disposal [5].

The timing of the Ethereum staking has sparked debate among market observers. While staking generates yield, it also locks up assets and delays their liquidation. Some analysts suggest the move could be an effort to wait for more favorable market conditions to maximize recovery value [6]. Others view it as a temporary measure to remain within legal constraints while preserving flexibility for the upcoming payout.

At the time of the staking, Ethereum’s price was around $3,800, with the broader crypto market valued at approximately $4 trillion [7]. The FTX estate faces pressure to provide transparency and deliver value to creditors, many of whom are still uncertain about the full extent of their recovery. On-chain analysts and legal teams are closely monitoring the estate’s activities to assess compliance and strategy [8].

The staking highlights the evolving methods by which insolvent crypto firms manage tokenized assets during bankruptcy. These actions are seen not as desperate gambles but as calculated steps to preserve and enhance value for creditors amid complex legal and market conditions [9].

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Source:

[1] https://www.cryptoninjas.net/news/ftx-quietly-stakes-79m-in-ethereum/

[2] https://www.ainvest.com/news/ethereum-news-today-ftx-stakes-79m-ethereum-creditor-payouts-loom-2507/

[3] https://coinpedia.org/news/ftx-alameda-stake-79m-in-ethereum-ahead-of-1-9b-creditor-payout/

[5] https://blockchain.news/flashnews/ftx-alameda-stakes-20-736-eth-79m-recent-withdrawal-activity-and-market-impact-on-eth-price

[6] https://www.ainvest.com/news/ethereum-news-today-ftx-alameda-stakes-79-million-eth-generate-yield-bankruptcy-2507/