CoinVoice has learned that Backpack Exchange, founded by former FTX and Alameda employees, has acquired the bankrupt former European entity of FTX for $32.7 million to expand its derivatives business in the region.
FTX EU is one of the business divisions that ultimately went bankrupt after FTX collapsed in 2022. As part of the acquisition, Dubai-based Backpack will be responsible for distributing approximately €53 million ($55 million) in FTX bankruptcy claims previously approved by the court to FTX EU clients.
FTX bankruptcy estate managers filed a lawsuit attempting to recover millions from the original owners of FTX EU. The lawsuit was ultimately withdrawn as part of a settlement agreement, which included the resale of the division to FTX Europe's co-founders Patrick Gruhn and Robin Matzke. Backpack purchased the company from the co-founders. (Bloomberg)
Latest news as of yesterday, Backpack Exchange has received approval from the Cyprus Securities and Exchange Commission and the FTX bankruptcy court to officially acquire FTX EU. Backpack Exchange will be responsible for distributing the bankruptcy claims of FTX EU users that were previously approved by the court.
The exchange is valued at $120 million in its Series A funding round at the beginning of 2024 and has obtained licenses from Dubai VARA and EU MiFID II. The newly established Backpack EU is set to launch in Q1 2025, offering crypto derivatives trading services, supporting SEP A payments and major European currency wire transfers. [Original link]