Solana co-founder Anatoly Yakovenko recently chimed into the X chatter surrounding the uncertain fate of collapsed crypto exchange FTX’s substantial Solana (SOL) holdings. As analysts and social media buzzed with speculations, Yakovenko advocated for a rather straightforward solution: return the SOL to former FTX customers.
What caught the eyes of analysts and traders alike was the suspicious movement of SOL from FTX’s cold storage wallets. Blockchain data suggests that these wallets hold an astonishing 7 million SOL, translating to roughly $134 million at current market rates. This vast pool of SOL represents just a fraction of the 58,086,686 SOL—worth $1.1 billion today—that the Solana Foundation and Solana Labs sold to FTX and its sister firm, Alameda Research, before the latter’s financial nosedive.
After FTX declared bankruptcy last November, the question on everyone’s mind was how much of this SOL stash still belonged to the exchange. But the recent wallet activity has set the crypto community abuzz with speculations, ranging from the dire scenario of FTX’s new management dumping SOL to other less alarming possibilities. “My wish would be to distribute the SOL to all the FTX customers directly,” Yakovenko said, describing this as the “least worse outcome for everyone.”
Yakovenko added that distributing the SOL to 5 million users could be a “win-win” for the Solana network and individual holders in the long term. He even floated the idea of a Dutch auction, allowing the users to control their assets and sell their share at a price determined by an open, descending bid.
Neither Yakovenko nor the Solana Foundation have issued official statements following their initial comments. As for FTX’s new management, they remain tight-lipped about any intentions to sell the controversial SOL holdings.
Before its bankruptcy, FTX had a history of close financial and operational ties with Solana. FTX co-founder and former CEO Sam Bankman-Fried had not only been a staunch supporter of the 10th-largest cryptocurrency by market cap but also spearheaded initiatives like launching a marketplace for Solana-based NFTs. Unfortunately, this partnership also meant that when FTX crumbled due to alleged criminal mismanagement, amounting to around $8.7 billion in misappropriated customer cash, Solana felt the ripples strongly. Bankman-Fried currently faces 13 criminal charges post his arrest last year.
While former FTX customers await the return of their assets, the crypto world watches with bated breath. Whether the SOL will find its way back to its original holders or end up as another cautionary tale in the volatile landscape of cryptocurrency remains to be seen.
