Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
Home»ADOPTION NEWS»IRS’s $24 billion tax bill threatens recovery for FTX victims
ADOPTION NEWS

IRS’s $24 billion tax bill threatens recovery for FTX victims

By Crypto FlexsDecember 13, 20232 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
IRS’s  billion tax bill threatens recovery for FTX victims
Share
Facebook Twitter LinkedIn Pinterest Email

FTX, previously the dominant player in the cryptocurrency exchange market, now faces a huge obstacle in its bankruptcy filing process. The Internal Revenue Service (IRS) issued FTX a massive tax bill worth $24 billion. This new development has the potential to significantly change the chances of recovery for those affected by the exchange collapse.

Moreover, FTX’s creditors and victims, who were already suffering from the exchange’s collapse, now face additional difficulties. FTX’s legal team challenged the Internal Revenue Service’s (IRS) $24 billion in unfair and exaggerated tax claims. The Federal Trade Commission (FTX) claims that if the tax bill goes into effect, funds that should be distributed to victims of exchange collapses will dry up. The exchange’s lawyers stress the validity of their argument by pointing out that FTX has suffered significant losses and is highly unlikely to have suffered such a large tax burden in the first place.

At the heart of the legal dispute between FTX and the IRS is the legality of the tax claims. Initially, the Internal Revenue Service (IRS) asked for $44 billion, but eventually settled for $24 billion. FTX, which is currently in the process of liquidating its assets, argues that the recovery offer proposed by the Internal Revenue Service (IRS) would be detrimental to FTX victims because it would divert cash from victims’ compensation. This issue may make FTX’s efforts to pay affected consumers more difficult and result in delays in the compensation process.

These situations are examples of digital asset companies coming under heightened scrutiny from U.S. authorities. After FTX’s high-profile failure in November 2022, the Internal Revenue Service (IRS) and the Department of Justice increased their interest in cryptocurrency businesses. The shift in how U.S. regulators treat the cryptocurrency industry can be seen in the case of FTX, which was characterized by allegations of mismanagement and exploitation of consumer money.

Image source: Shutterstock

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

Gala Games improves leader board rewards and introduces preference systems.

June 20, 2025

Ether Leeum Whale starts a $ 11 million leverage betting in the 30% increase in ETH prices.

June 12, 2025
Add A Comment

Comments are closed.

Recent Posts

Checkpoint #4: Berlinterop | Ether Leeum Foundation Blog

June 28, 2025

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

No Altcoin Season 2025 ? Why Bitcoin Dominance Is Holding Strong In The Crypto Market

June 28, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Safe smart account audit summary

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

Bybit Expands Global Reach With Credit Card Crypto Purchases In 25+ Currencies And Cashback Rewards

June 27, 2025

BYDFi Joins Seoul Meta Week 2025, Advancing Web3 Vision And South Korea Strategy

June 27, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

Checkpoint #4: Berlinterop | Ether Leeum Foundation Blog

June 28, 2025

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025
Most Popular

A textbook bullish indicator sees Yearn Finance (YFI) at $30K.

December 1, 2023

Binance Adds New Lending Assets to Flexible Interest Rates and VIP Lending Services

May 15, 2024

Cryptocurrency’s role in logistics and supply chain optimization

November 7, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.