FTX Denies Approval Of FTX EU Acquisition By Backpack Amid Bankruptcy Proceedings

FTX Denies Approval Of FTX EU Acquisition By Backpack Amid Bankruptcy Proceedings

Bankrupt cryptocurrency alternate FTX denied claims that crypto alternate Backpack has acquired its European subsidiary, FTX EU.

FTX mentioned that the deal has not been permitted by the US Bankruptcy Court docket in Delaware.

Backpack introduced on 7 January 2025 that it had acquired FTX EU as a part of the court-approved chapter course of. Backpack claimed that it could oversee creditor repayments to FTX EU clients.

On the time, Backpack founder Armani Ferrante mentioned the alternate wouldn’t start buying and selling operations in Europe till it had ensured repayments to collectors, aiming to start payouts as early as February.

EXPLORE: 10 Cash with Excessive Returns: Crypto Forecast 2025

FTX Calls the Acquisition “Purported”

Nonetheless, in a 8 January 2025 press launch, FTX dismissed these assertions, calling the acquisition “purported.” FTX asserted that it had not been sanctioned by the chapter courtroom.

Moreover, FTX clarified that Backpack has not been approved to distribute funds to collectors of the defunct alternate. It additionally mentioned that Backpack’s press launch was issued with out the alternate’s data or involvement.

FTX revealed that it had beforehand agreed to promote FTX EU to “certain former insiders” of FTX Europe as a part of a settlement overseen by the chapter courtroom.

The alternate added that it just lately realized these insiders had transferred FTX EU to Backpack with out prior notification to FTX or the courtroom.

“Neither FTX nor the US Bankruptcy Court was made aware of the indirect sale of FTX EU to Backpack prior to this week,” the corporate mentioned.

FTX additionally clarified that it retains unique authority over buyer repayments. “Backpack has not been authorized by FTX to make any distributions to any FTX customers or other creditors,” FTX mentioned. 

Backpack has positioned the acquisition as a method to increase its presence in Europe utilizing FTX EU’s Markets in Monetary Devices Directive and Regulation (MiFID II) license.

The firm, based in 2022 by Solana developer Ferrante, beforehand acquired $20 million in funding from FTX and Leap Crypto. Regardless of shedding $14.5 million throughout FTX’s 2022 collapse, Backpack has continued operations with restricted funding.

The reorganization plan for FTX, which took impact on 3 January, permits collectors to start out receiving repayments. Preliminary reimbursements are set to go to “convenience classes,” together with claims of $50,000 or much less, inside 60 days.

EXPLORE: 3 Consultants Predict: How Excessive Can Bitcoin Go In 2025?

FTX Settles Lawsuit With Bybit

Final 12 months, the FTX chapter property reached a $228 million settlement with the cryptocurrency alternate Bybit to get better funds for repaying former FTX clients and collectors.

Beneath the phrases of the settlement, FTX will retrieve $175 million in digital belongings held by Bybit, and a further $53 million in BIT tokens, which shall be offered to Mirana Corp, Bybit’s funding arm.

FTX initially launched a $1 billion lawsuit towards Bybit and Mirana in late 2023. It alleged that these entities used particular privileges and “VIP” entry to pre-emptively withdraw $327 million in digital belongings and money within the days main as much as FTX’s downfall.

The FTX chapter property set a purpose to start buyer repayments by early 2025.

EXPLORE: Former FTX Digital Markets Co-CEO Ryan Salame Sentenced To 7.5 Years In Jail

The put up FTX Denies Approval Of FTX EU Acquisition By Backpack Amid Bankruptcy Proceedings appeared first on 99Bitcoins.

Supply hyperlink

bitcoin
Bitcoin (BTC) $ 95,674.63 1.39%
ethereum
Ethereum (ETH) $ 2,579.72 2.72%
tether
Tether (USDT) $ 1.00 0.00%
xrp
XRP (XRP) $ 2.35 4.03%
solana
Solana (SOL) $ 198.41 1.87%
bnb
BNB (BNB) $ 604.39 1.90%
usd-coin
USDC (USDC) $ 1.00 0.01%
dogecoin
Dogecoin (DOGE) $ 0.243809 4.37%
staked-ether
Lido Staked Ether (STETH) $ 2,579.68 2.51%
cardano
Cardano (ADA) $ 0.670118 4.91%
tron
TRON (TRX) $ 0.228642 1.44%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 95,420.57 1.30%
chainlink
Chainlink (LINK) $ 17.80 4.00%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,070.06 3.01%
avalanche-2
Avalanche (AVAX) $ 24.27 1.91%
the-open-network
Toncoin (TON) $ 3.77 0.11%
stellar
Stellar (XLM) $ 0.306359 8.01%
leo-token
LEO Token (LEO) $ 9.88 0.61%
sui
Sui (SUI) $ 2.95 5.21%
shiba-inu
Shiba Inu (SHIB) $ 0.000015 4.58%
hedera-hashgraph
Hedera (HBAR) $ 0.227211 3.95%
usds
USDS (USDS) $ 1.00 0.33%
litecoin
Litecoin (LTC) $ 108.45 2.50%
bitget-token
Bitget Token (BGB) $ 6.33 2.32%
hyperliquid
Hyperliquid (HYPE) $ 22.56 4.40%
weth
WETH (WETH) $ 2,578.34 2.72%
polkadot
Polkadot (DOT) $ 4.67 2.06%
bitcoin-cash
Bitcoin Cash (BCH) $ 318.87 1.53%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.03%
mantra-dao
MANTRA (OM) $ 6.11 1.02%
uniswap
Uniswap (UNI) $ 8.89 2.26%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,733.02 2.62%
monero
Monero (XMR) $ 222.60 2.82%
ondo-finance
Ondo (ONDO) $ 1.30 4.10%
whitebit
WhiteBIT Coin (WBT) $ 27.27 0.01%
pepe
Pepe (PEPE) $ 0.000009 3.75%
near
NEAR Protocol (NEAR) $ 3.09 6.81%
aave
Aave (AAVE) $ 236.94 2.70%
dai
Dai (DAI) $ 0.999885 0.03%
mantle
Mantle (MNT) $ 1.01 4.51%
aptos
Aptos (APT) $ 5.77 2.72%
internet-computer
Internet Computer (ICP) $ 6.79 3.30%
susds
sUSDS (SUSDS) $ 1.04 0.01%
official-trump
Official Trump (TRUMP) $ 15.60 10.24%
ethereum-classic
Ethereum Classic (ETC) $ 19.79 2.18%
bittensor
Bittensor (TAO) $ 356.03 0.00%
okb
OKB (OKB) $ 47.01 1.77%
gatechain-token
Gate (GT) $ 21.35 0.02%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.297239 4.31%
vechain
VeChain (VET) $ 0.031318 5.52%
crypto-com-chain
Cronos (CRO) $ 0.091313 4.35%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 95,651.63 1.26%
algorand
Algorand (ALGO) $ 0.271576 2.35%
tokenize-xchange
Tokenize Xchange (TKX) $ 28.08 4.16%
kaspa
Kaspa (KAS) $ 0.085298 2.89%
render-token
Render (RENDER) $ 4.15 3.76%
jupiter-exchange-solana
Jupiter (JUP) $ 0.810598 5.54%
filecoin
Filecoin (FIL) $ 3.24 2.69%
first-digital-usd
First Digital USD (FDUSD) $ 0.993724 0.85%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 0.750838 1.46%
cosmos
Cosmos Hub (ATOM) $ 4.49 1.90%
arbitrum
Arbitrum (ARB) $ 0.440758 3.25%
lombard-staked-btc
Lombard Staked BTC (LBTC) $ 94,759.39 2.47%
fasttoken
Fasttoken (FTN) $ 3.94 0.14%
celestia
Celestia (TIA) $ 3.05 0.49%
binance-staked-sol
Binance Staked SOL (BNSOL) $ 205.31 1.69%
binance-peg-weth
Binance-Peg WETH (WETH) $ 2,577.22 2.66%
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 2,670.33 2.78%
ethena
Ethena (ENA) $ 0.470977 11.11%
solv-btc
Solv Protocol SolvBTC (SOLVBTC) $ 95,408.56 1.21%
kucoin-shares
KuCoin (KCS) $ 12.07 0.62%
optimism
Optimism (OP) $ 1.06 1.06%
xdce-crowd-sale
XDC Network (XDC) $ 0.089913 0.23%
immutable-x
Immutable (IMX) $ 0.793287 2.25%
raydium
Raydium (RAY) $ 4.63 9.07%
blockstack
Stacks (STX) $ 0.889614 0.16%
lido-dao
Lido DAO (LDO) $ 1.48 4.23%
injective-protocol
Injective (INJ) $ 13.54 3.24%
bonk
Bonk (BONK) $ 0.000017 5.78%
rocket-pool-eth
Rocket Pool ETH (RETH) $ 2,893.08 2.57%
nexo
NEXO (NEXO) $ 1.29 2.81%
sonic-3
Sonic (prev. FTM) (S) $ 0.401525 1.97%
theta-token
Theta Network (THETA) $ 1.25 5.85%
the-graph
The Graph (GRT) $ 0.128885 2.02%
mantle-staked-ether
Mantle Staked Ether (METH) $ 2,723.79 2.58%
flare-networks
Flare (FLR) $ 0.020864 2.83%
movement
Movement (MOVE) $ 0.504224 8.64%
worldcoin-wld
Worldcoin (WLD) $ 1.19 5.10%
usual-usd
Usual USD (USD0) $ 0.998361 0.02%
dexe
DeXe (DEXE) $ 19.21 7.22%
jasmycoin
JasmyCoin (JASMY) $ 0.022089 1.71%
solv-protocol-solvbtc-bbn
Solv Protocol SolvBTC.BBN (SOLVBTC.BB) $ 94,597.35 0.51%
msol
Marinade Staked SOL (MSOL) $ 251.03 1.52%
sei-network
Sei (SEI) $ 0.219723 3.32%
gala
GALA (GALA) $ 0.021323 3.84%
the-sandbox
The Sandbox (SAND) $ 0.36686 6.01%
eos
EOS (EOS) $ 0.591862 2.80%
tezos
Tezos (XTZ) $ 0.862035 2.56%
floki
FLOKI (FLOKI) $ 0.000092 2.22%
ultima
Ultima (ULTIMA) $ 19,255.79 1.53%
Scroll to Top