guess that is what they do best.
As a crypto user, it can be incredibly disheartening to see how much money is being spent on legal fees and advisors when it feels like a company should be doing everything it can to pay back the people it has wronged. In the case of FTX, Block Research revealed that the company spent over $120 million in advisor fees between February 1 and April 30. This includes $37 million from restructuring advisors Alvarez and Marsel, and over $1.1 million in expenses for meals, lodging, and miscellaneous items.
Unfortunately, this is a trend seen all too often in the crypto industry. When powerful people or corporations are sued, they seem to pay whatever it takes to ensure their interests are represented. Meanwhile, those who have suffered losses due to their negligence or wrongdoing often go without any compensation. This can be seen with FTX, where customers have yet to see a dollar of their money back, while law firms and advisors have been paid millions.
The same thing happened with Luna, who also went through a version 2.0. While some people have been able to make a profit off of the situation, the majority of users were left with little to no compensation.
The legal fees and advisor costs associated with FTX are incredibly high, but this is not an isolated incident. It’s a common occurrence in the crypto industry, and it’s difficult to watch as an outsider. As users, we can only hope that companies are held accountable for their actions, and those who have suffered losses are properly compensated.