• FTX is able to officially sell off four of its key units; FTX Europe, FTX Japan, its derivatives arm LedgerX and Embed.
• Interested buyers may indicate their interests between January 18 and February 1, with more than 117 buyers already expressing their interest.
• A bankruptcy judge has issued an order for FTX to sell its units and that sale notices will be made available to the public within three working days.
The cryptocurrency exchange FTX has been granted the official go-ahead to sell off four of its key units, raising funds to repay creditors. The units that are up for sale are FTX Europe, FTX Japan, its derivatives arm LedgerX and Embed – its stock-clearing platform. The sell-offs will be overseen by investment bank Perella Weinberg, with interested buyers able to indicate their interests between January 18 and February 1.
The order for FTX to sell its units was made by bankruptcy judge John Dorsey on Thursday following a Wednesday hearing. Court documents have revealed that more than 117 buyers already have an interest in the sell-offs, with more expected to join in within the given timeframe. Sale notices will also be made available to the public within three working days.
FTX exchange used to be a major force in the crypto industry up until it filed for bankruptcy on November 6, 2020, after the company’s assets were frozen due to a missed payment to a creditor. FTX had previously been an innovator in the industry, introducing a range of products, including leverage trading and options.
FTX is hoping to use the proceeds of the sell-off to pay back its creditors and help the business stay afloat. The company’s creditors have been pushing for it to raise funds to cover its debts, though the exact amount FTX needs is unknown.
Due to the relative uncertainty of the crypto market, it is difficult to predict the exact outcome of the sell-off. However, it is likely to be a positive one for FTX, as more than 100 buyers have already expressed an interest in the company’s units.
The sell-off will also be an important moment for the crypto industry as a whole, as it marks a shift from the more traditional financial instruments to a more decentralized and digital market. It will also be a great opportunity for investors to get involved in the rapidly growing crypto market.
Overall, the sell-off of FTX’s units is set to be an important moment in the history of the crypto industry. The company will be able to raise funds to cover its debts and the buyers will have a chance to get involved in the industry. It’s a win-win situation for everyone involved.