The recent agreement between SpaceX and Cursor has shed light on a substantial missed recovery in crypto history. In April 2023, FTX's bankruptcy estate sold its 5% stake in Cursor for $200,000, a stake that would now be worth approximately $3 billion following SpaceX's acquisition deal at a $60 billion valuation. This significant increase in value has brought attention to the crypto angle, particularly the investment made by Alameda Research in Anysphere, the company behind Cursor, in April 2022. The investment of $200,000 bought roughly 5% of the company at a $4 million valuation.
However, after FTX's collapse, the court-appointed estate sold the stake for the same amount, resulting in a substantial loss for creditors. This event has sparked debate, especially considering Sam Bankman-Fried's arguments that the estate's liquidation of assets too quickly destroyed billions in value, and that customers could have received more if the process had held positions instead of selling them at the bottom of crypto prices.
The timing of this acquisition deal has also raised questions about the bankruptcy administration's handling of assets. With FTX customers having been repaid in dollar terms under the bankruptcy's distribution plan, the focus now shifts to the upside from assets between the bankruptcy filing and the present, with the Cursor stake representing a significant forgone recovery of about $3 billion.