The FTX Recovery Trust has filed lawsuits against NFT Stars Limited and KUROSEMI INC. (the company behind the AI gaming platform Delysium), alleging that both firms failed to deliver millions of contractually promised tokens. The move, announced on April 28, 2025, signals FTX’s intensifying push to claw back assets and maximise repayments to creditors still reeling from the exchange’s 2022 collapse.

Image Source: FTX

Details of the Legal Action

According to court filings, FTX’s restructuring team made repeated attempts to resolve the disputes out of court, reaching out to both NFT Stars and Delysium over a dozen times each. These efforts, which spanned from mid-2023 to late 2024, reportedly went unanswered, forcing FTX to turn to litigation as a last resort.

NFT Stars Limited is accused of failing to transfer 831,000 SENATE tokens and 83 million SIDUS tokens-assets FTX claims were secured through a $325,000 investment in November 2021. Meanwhile, Delysium allegedly withheld 75 million AGI tokens, despite FTX’s $1 million investment in January 2022. In Delysium’s case, FTX asserts that the company unilaterally extended the agreed vesting period from 12 to 48 months and publicly declared it would not honour token allocations to the now-defunct exchange.

A Broader Warning to the Crypto Industry

 FTX has publicly warned that additional suits will follow against other token and coin issuers who fail to cooperate with asset recovery efforts. “We urge token and coin issuers to return assets that rightfully belong to FTX,” the estate stated, emphasizing that litigation will be pursued if adequate engagement is not forthcoming.

FTX’s legal team, led by Sullivan & Cromwell LLP, is working in concert with top financial and investment advisors to maximize recoveries. The estate’s message is clear: comply with contractual obligations or face legal consequences.

FTX’s Ongoing Bankruptcy and Creditor Repayments

FTX’s collapse in November 2022, following revelations of an $8 billion shortfall and the conviction of founder Sam Bankman-Fried, triggered one of the largest bankruptcies in crypto history. Under new leadership, the estate has recovered between $14.5 billion and $16.3 billion and has already begun distributing funds to creditors, with a second round of payments scheduled for May 30, 2025. The outcome of these lawsuits could further boost repayments and help close the chapter on FTX’s tumultuous downfall.

Industry Reaction

While some analysts have criticized the timing of FTX’s legal actions, suggesting they come too late to make a meaningful difference for small investors, the message from FTX is clear: cooperation is the only way to avoid costly litigation and speed up the repayment process for creditors.