The recent agreement between SpaceX and Cursor has shed light on a substantial missed recovery for FTX's estate. In April 2023, the estate sold its 5% stake in Cursor for $200,000, a stake that would now be worth approximately $3 billion. This significant disparity has sparked debate about the handling of FTX's assets during its bankruptcy.
The investment was initially made by Alameda Research, a trading firm founded by Sam Bankman-Fried, in April 2022. Following FTX's collapse, the court-appointed estate sold the stake for the same $200,000, resulting in a substantial loss of potential value for the creditors.
The timing of this sale has been criticized, particularly by Bankman-Fried, who has argued that the estate's decision to liquidate assets too quickly destroyed billions in value. The Cursor stake's valuation has increased dramatically since its launch in early 2023, making it one of the steepest trajectories in software startup history. While FTX customers have been repaid in full, they did not benefit from the upside of the assets sold during the bankruptcy, including the substantial increase in value of the Cursor stake.