- FTX is currently engaged in revival negotiations.
- The exchange has received bids from potential buyers.
- FTX is pursuing an asset sale for creditor restitution.
The 2022 bankruptcy of Sam Bankman-Fried’s crypto exchange FTX marked one of the biggest collapses in the industry, resulting in a loss of over $8 billion for investors. Since then, various developments have unfolded, but the lingering question of what remains of its fate persists.
On October 24, reports suggested that the exchange could resurrect its operations, pending a decision by the bankruptcy court of the District of Delaware, as revival negotiations were underway among three bidders. While their identities initially remained undisclosed, new reports unveiled the interested parties involved.
FTX Bidders Unveiled
According to the Wall Street Journal on November 8th, former New York Stock Exchange President Tom Farley’s cryptocurrency trading platform, Bullish, is among the three companies vying for the remains of the defunct now-defunct cryptocurrency exchange FTX 2.0.
The company, which offers regulated trading and exchange services, is bidding against two other firms, including fintech startup Figure Technologies and crypto venture-capital firm Proof Group.
According to an FTX advisor in October, the exchange reportedly received interest from over 70 parties before narrowing the selection to three finalists. The announcement of the winning bid is expected in December, and if successful, it could mark the return of FTX 2.0 in 2024 as part of the exchange’s planned resurgence from bankruptcy.
FTX is also trying to recover assets and streamline the process for customer compensation. The exchange recently filed a motion with the U.S Bankruptcy Court of Delaware, requesting approval to sell select Trust assets valued at $744 million.
Read more on the crumble of former FTX CEO Sam Bankman Fried for investor fraud:
SBF Guilty on Multiple Charges, Awaits Sentence in 2024
Regulatory authorities are bolstering industry security post-SBF conviction. Find out more:
Prosecutors Bolster Crime Crackdown Post-SBF Guilty Verdict