FTX Is Considering 3 Offers to Buy the Exchange

ftx bankruptcy amid fraud allegations

According to the bankruptcy filing submitted to the U.S. court on October 24th, the representative of the bankrupt entity taking over the FTX cryptocurrency exchange has disclosed that they have received three acquisition proposals for the platform. However, the exchange has not revealed the specific identities of the new investors. FTX stated that they are reviewing the acquisition profiles and will make a decision by mid-December.

FTX is considering various options, including selling the entire trading platform with over 9 million users or seeking a partner to support the relaunch of the exchange. Since declaring bankruptcy in November 2022, the FTX management has been exploring ways to recover and generate additional asset revenue to increase the potential compensation for creditors and FTX customers.

In September, the court allowed the sale of $3.4 billion in crypto to prepare for customer compensation, with up to 90% of asset claims to be repaid if approved by the court. Additionally, FTX has started staking cryptocurrencies such as ETH, SOL, and MATIC to leverage idle funds.

The entity managing FTX hopes that selling the exchange to a new owner will further increase the amount of funds returned to users, continuing to mitigate the damage caused by the collapse of the once-largest cryptocurrency exchange.

The former CEO of FTX, Sam Bankman-Fried, is currently facing trial in another U.S. court on charges of fraud and deception in managing FTX. Many close witnesses to Sam Bankman-Fried, as well as independent experts, have provided testimony indicating that he directly instructed subordinates to withdraw funds from FTX users to support the spending and investments of the exchange and another company he manages, Alameda Research Fund.

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Chi Do
Chi Do
Chi Do is a content writer at CoinMinutes, responsible for creating most of the content on the website, including news related to Bitcoin (BTC), Ethereum (ETH), Blockchain, Decentralized Finance (DeFi), and more. With a keen interest in cryptocurrencies since the 2020s, Chi has acquired extensive experience and knowledge in this field. Chi holds a Bachelor's degree in communication from Academy of Journalism and Communication in Vietnam.

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