FTX CEO John Ray III is reaching out to potential participants to relaunch and rename the FTX cryptocurrency exchange.
FTX, a troubled cryptocurrency exchange, is making efforts to relaunch its international platform, despite facing reputation damage, as reported by the Wall Street Journal. The exchange’s new management team revealed that approximately $9 billion of customer funds were misused prior to the company’s downfall last year.
FTX CEO John Ray III has initiated discussions with potential partners to relaunch the FTX exchange. The company is considering renaming the exchange and exploring ways to compensate certain existing customers. Additionally, efforts are being made to build and strengthen the team through recruitment.
Sources suggest that blockchain technology company Figure has shown interest in assisting FTX with its reboot. Figure was also part of an investment group that competed for the acquisition of Celsius Network but was ultimately outbid by another consortium.
CEO John Ray III has announced the formation of a task force to explore the relaunch of the FTX.com exchange.
The company has initiated the process of reaching out to potential partners and stakeholders who may be interested in participating in the reboot of the exchange.
According to a court filing in the Delaware Bankruptcy Court, FTX has disclosed the names of potential buyers interested in acquiring the company’s assets under the 363 Sale section of the US Bankruptcy Code. The interested parties include Nasdaq, Ripple Labs, Galaxy Digital, BlackRock, Tribe Capital, Robinhood, NYDIG, and OKCoin.
The debtors of FTX are planning to carry out the sale process in either the third or fourth quarter of this year. They intend to choose a “stalking-horse bidder,” which means one of the interested companies will likely be selected as the initial bidder.
Additionally, there are companies that are considering investing in FTX 2.0. The team, led by CEO John Ray III, is currently working on the bid process letter, identifying interested parties, bringing market makers on board, and preparing for the relaunch of FTX Japan.
FTX has filed a lawsuit against their former General Counsel, Daniel Friedberg. Whistleblowers have come forward, claiming that they received payments from Friedberg since 2019. Friedberg is accused of various wrongdoing, including breaching his fiduciary duty, engaging in malpractice and negligence, contributing to corporate waste, and aiding and abetting.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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