In April 2023, FTX's bankruptcy estate sold a 5% stake in AI coding startup Cursor for $200,000. Following SpaceX's recent agreement to acquire the company at a $60 billion valuation, that same stake would now be worth approximately $3 billion.
This development has brought attention to one of the largest missed recoveries in crypto history, with the estate's decision to sell the stake at a relatively low price being scrutinized. The acquisition is part of Elon Musk's efforts to enhance SpaceX's AI capabilities, particularly in the area of AI coding tools. The deal has also sparked debate about the timing of the sale, with some arguing that the estate's decision to liquidate assets too quickly may have resulted in significant losses for creditors.
The case has implications for FTX's bankruptcy administration and the ongoing campaign for a pardon for Sam Bankman-Fried, who is currently serving a 25-year federal sentence.