Entertainment-focused zkSync hyperchain Sophon has raised roughly $60 million in less than a week after commencing its node sale.

According to an announcement sent to CryptoPotato, the $60 million raised will be added to a $10 million raised over a month ago in a funding round led by several top crypto firms, including OKX Ventures, Huobi Ventures, Spartan, and SevenX.

Sophon Raises $60M

As a modular blockchain leveraging zkSync’s hyperchain technology, Sophon is built for applications in high throughput sectors like artificial intelligence and gaming. The network, co-founded by semi-anonymous Sebastien, former head of decentralized finance at zkSync and popular Crypto Twitter persona Pentoshi, is expected to be launched in Q3 2024 alongside the zkSync Hyperchain toolkit.

Sophon’s founders offered 200,000 nodes structured in multiple tiers for sale. They were looking to raise approximately $60 million in wrapped ether (WETH) and have done so in less than a week of commencing sales.

Once zkSync enables proof-of-authority for hyperchains, node holders will be allowed to operate the Sophon sequencer and contribute to the network’s decentralization. They will be rewarded with Sophon’s native token, SOPH.

“The Sophon Hyperchain is dedicated to developing an entertaining, efficient, and secure playground utilizing ZK technology for artificial intelligence, gaming, and more, and its team’s track record positions it as the premier Hyperchain in the zkSync ecosystem. Moreover, there are several projects lined up to launch on the network,” the Sophon team said.

SOPH Airdrop Requirement

Upon Sophon’s launch, SOPH will be distributed to users through a unique airdrop. Market participants will be required to stake crypto assets to receive SOPH allocations. The assets to be staked include BEAM, the native token of privacy-focused Beam Network, and ZENT, the native asset of gaming platform Zentry.

Commenting on the funds raised so far, Sebastien said: “When I decided to build Sophon, choosing the ZK Stack was no brainer. I know the product inside-out in comparison to other stacks on the market. It’s all about building for tomorrow rather than yesterday, and I’m convinced that in a few years, looking back at the design and infrastructure choices Matter Labs made will seem obvious. I will continue to work closely with the amazing Matter Labs team.”

The post ZkSync Hyperchain Sophon Raises $60M Via Node Sale appeared first on CryptoPotato.

Bankrupt cryptocurrency exchange, FTX has unveiled a new repayment plan aimed at reimbursing creditors and customers in full and offering billions in the form of compensation for the time value of their investment. 

FTX To Reimburse Customers In Full

In a press release on May 7, FTX disclosed that it would be repaying 98% of its customers at least 118% of allowed claims in cash. The insolvent crypto exchange had filed a new reorganization strategy with the United States Bankruptcy Court of Delaware.

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The reorganization plan, which involves the allocation of funds to customers affected by FTX’s fraud scheme, will involve a centralized distribution of all of the company’s assets during the time of its collapse in November 2022 to its creditors and customers. 

The crypto exchange has revealed that it has secured between $14.5 billion to $16.3 billion, after selling assets and properties owned by the company. This specifically includes assets under control of the “Chapter 11 debtors,” the Joint Official Liquidators of FTX Digital Markets Ltd., and FTX Australia, as well as various private parties which have participated in the recovery and repayment process. 

FTX’s repayment strategy outlines a comprehensive approach to repay creditors, both governmental and non-governmental. The crypto exchange has stated that it will make complete payments to non-governmental creditors based on the value of their claims determined by the Bankruptcy Court. 

On the other hand, a subordination arrangement is proposed for governmental creditors, prioritizing interest payments to primary classes of customers and creditors at up to 9%, executed in a timely manner. 

The repayment plan will also establish a unique category known as “convenience class,” specifically focusing on creditors with claims valued at $50,000 or less. This reorganization will effectively streamline the payment process for smaller creditors and expedite compensation. 

The exchange’s amended repayment strategy is still undergoing finalization and awaiting approval from the Bankruptcy Court. However, if the plan receives approval, it is expected that creditors will receive 118% of the value of their allowed claims within 60 days following the plan’s effective date. 

Key Settlements In Repayment Plan

In its new payment reorganization plan, FTX disclosed several settlements mutually agreed upon with primary economic stakeholders. As well as some that are still pending finalization and approval by the Court. 

One of the key settlements involves a resolution of the $24 billion in claims filed by the Internal Revenue Service (IRS). In exchange, FTX has agreed to make a $200 million cash payment and issue a $685 million subordinate claim. 

Additionally, FTX has proposed agreements with the IRS and the Commodities Futures Trading Commission (CFTC) to subordinate tax claims which arose after the commencement of the Chapter 11 cases. Furthermore, the crypto exchange revealed a previously approved settlement with the Joint Official Liquidators of FTX Digital Markets, Ltd., and BlockFi, the largest creditor of FTX.