Bankrupt crypto exchange FTX is moving ahead with efforts to revive its flagship international cryptocurrency exchange, the Wall Street Journal reported on Wednesday citing chief executive officer (CEO) John Ray.
The company “has begun the process of soliciting interested parties to the reboot of the FTX.com exchange,” Ray said, according to the WSJ‘s report.
The failed crypto company has been holding talks with investors about backing a potential restart of the FTX.com exchange through structures such as a joint venture, the report added.
As a part of the restart, the exchange is likely to go for rebranding. The talks also include possible compensation for existing customers, possibly offering them stakes in the reorganised entity, WSJ said, citing people aware of the development.
It also said that blockchain company Figure has shown interest in helping to restart FTX. Figure had earlier bid to restart Celsius Network but lost to a consortium backed by Fortress Investment Group.
In November, FTX filed for Chapter 11 bankruptcy protection in the United States of America (USA) following its collapse that sent shivers through the digital assets industry.
In the days leading up to the failure, customers of Sam Bankman-Fried’s crypto exchange withdrew billions of dollars, hobbling the firm’s liquidity. A rescue deal with rival exchange Binance also fell through, precipitating crypto’s highest-profile collapse in recent years.
The industry has since been reeling amid the scrutiny of global regulators, while FTX founder Bankman-Fried faces a criminal lawsuit by the US government for alleged fraud.
First Published: Jun 29 2023 | 4:46 PM IST
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