In a move that came as a surprise to many in the world of cryptocurrency, FTX has finalized the $50 million sale of LedgerX crypto derivatives exchange. This acquisition by FTX came after a bidding war involving other big names in the crypto industry, such as Coinbase and Bakkt. With the acquisition now completed, FTX is now in a position to compete with other players in the industry in the derivatives market.
According to reports, the sale was completed on the 31st of December 2021. The move comes as part of FTX’s efforts to expand its reach in the crypto space. Since its launch, FTX has been known to be innovative and disruptive, with a focus on introducing new products and services to the market.
For those who do not know, LedgerX is a well-known player in the crypto derivatives market. The company was established in 2014 and has since been focused on offering its users access to bitcoin options, futures, and swaps. LedgerX is currently regulated by the Commodities Futures Trading Commission (CFTC) and operates as a derivatives clearing organization (DCO).
The acquisition of LedgerX by FTX is in line with the company’s mission to grow its derivatives offerings. With the acquisition, FTX will now have access to LedgerX’s user base, services, and technology. This is a significant move for FTX, as it seeks to become a dominant player in the derivatives market.
The acquisition of LedgerX will also help FTX expand its product offering. According to reports, FTX plans to offer bitcoin options and futures trading to its users. This is a market that has seen significant growth in recent years, with the demand for derivatives products continually increasing.
The acquisition of LedgerX by FTX is a big win for the crypto derivatives market. It will create more competition and provide users with access to more quality cryptocurrency derivatives products. The move will also help further the adoption of cryptocurrencies and blockchain technology.
It is also worth noting that FTX has been experiencing significant growth since its launch in 2019. The company has been able to attract new users through its innovative product offerings, such as spot and derivatives trading, as well as tokenized stocks and commodities.
In conclusion, the acquisition of LedgerX by FTX is an essential move for the crypto derivatives market. It shows that the market is maturing and becoming more competitive. It also highlights the importance of innovation in the industry, as companies seek to differentiate themselves from their competitors.
FTX’s acquisition of LedgerX is also a testament to the company’s commitment to providing users with access to innovative products and services. With the acquisition now completed, FTX is now in a position to expand its derivatives offerings and provide users with access to more products and services.
Overall, the acquisition of LedgerX by FTX is a significant development in the crypto space. It will be interesting to see how this move affects the crypto derivatives market and the overall direction of the industry.
FTX, the cryptocurrency exchange that filed for bankruptcy in November 2022, has agreed to sell LedgerX to M7 Holdings for $50 million. The sale, which was approved by FTX bankruptcy lawyers on Tuesday, is expected to generate recoveries for the failed exchange’s creditors.
LedgerX is a derivatives trading platform that was acquired by FTX subsidiary FTX.US in August 2021. At the time, FTX CEO Sam Bankman-Fried expressed his excitement at the prospect of working with the Commodity Futures Trading Commission to innovate in the US crypto derivatives space.
The sale of LedgerX to M7 Holdings, an affiliate of Miami International Holdings, Inc., is subject to a hearing scheduled for May 4, 2023. If approved, it will mark an important step forward for FTX’s efforts to monetize its assets and deliver recoveries to its stakeholders.
LedgerX’s sale was not initially listed in the bankruptcy proceedings, but a sale order notice was filed under seal in Delaware’s U.S. Bankruptcy Court on February 21, 2023. The auction was held on April 4, with M7 Holdings emerging as the winner.
M7 Holdings is a global operator of financial exchanges and execution services, based in Akron, Ohio. Its parent company, Miami International Holdings, operates multiple exchanges around the world, including Miami International Securities Exchange, MIAX Pearl Equities, and MIAX Emerald.
FTX’s bankruptcy filing in November 2022 came as a surprise to many in the cryptocurrency community, given the exchange’s rapid growth and high profile. The filing followed a turbulent period that saw FTX and other major exchanges hit by technical issues and market volatility.
Despite the setback, FTX has remained committed to innovation and growth in the crypto space. In addition to its acquisition of LedgerX, the exchange has continued to launch new products and features, including options trading, stablecoins, and non-fungible tokens.
The sale of LedgerX to M7 Holdings will be an important milestone in FTX’s ongoing efforts to recover from its bankruptcy filing and continue its growth trajectory. If approved, it will represent a significant win for both FTX and its creditors, and will demonstrate the resilience and adaptability of the cryptocurrency market in the face of challenges and setbacks.