FTX Could Soon Purchase Stake in BlockFi: Report

FTX Could Soon Purchase Stake in BlockFi: Report

THELOGICALINDIAN - The accord would chase a 250 actor acclaim band appear beforehand this week

The accepted crypto barter FTX could anon acquirement a pale in the lending close BlockFi, according to the Wall Street Journal.

FTX Is in Talks With BlockFi

FTX and BlockFi are reportedly discussing the achievability of the above close purchasing a pale in the latter.

Insiders advance that discussions amid the two companies are ongoing. No final accommodation has been accomplished and the bulk of money beneath altercation has not been disclosed.

BlockFi anchored a $250 actor band of credit from FTX beforehand this week. Zac Prince, CEO of BlockFi, declared that the accommodation would strengthen the firm’s antithesis area and belvedere strength.

Despite Prince’s absolute circuit on the deal, BlockFi’s accommodation to seek out a accommodation seems to point to banking issues. Plus, the close liquidated its position in Three Arrows Capital (3AC) and cut 20% of its workforce this month.

Those contest accept collectively affronted rumors of low clamminess at BlockFi. As such, FTX’s accessible accommodation to acquirement a pale could accommodate BlockFi with much-needed funding.

FTX Is Investing in Other Firms

Sam Bankman-Fried, architect and CEO of FTX, has taken an absorption in a cardinal of added cryptocurrency companies.

Alameda Research, additionally headed by Bankman-Fried, has acquired a pale in the Canadian crypto allowance Voyager Digital.

Additionally, Alameda continued a acclaim band of $200 actor in banknote and 15,000 BTC to Voyager this month. Those funds assume to be advised to advice Voyager balance from a bootless accord with Three Arrows Capital (3AC), to which it loaned that amount. Voyager claims that 3AC owed it $667 million.

In added deals this year, Bankman-Fried invested in Robinhood, accepting 7.6% pale for $648.3 million. FTX acquired Bitvo this month, while FTX.US acquired Embed Financial.

FTX appears to be in a able position. CoinGecko ranks FTX as the second-largest absolutely trusted exchange, with $2 billion in trading aggregate over the accomplished 24 hours.

Disclosure: At the time of writing, the columnist of this allotment endemic BTC, ETH, and added cryptocurrencies.