Sam-Bankman Fried’s crypto exchange FTX is reportedly in talks with investors to raise $1 billion in new funding as it seeks to use additional capital for financial acquisitions during the bear market.
According to a Sept. 21 report from TSWT citing sources close to the matter, talks are still ongoing and details are subject to change. If it turns out to be true, the funding amount would keep the FTX’s current valuation of about $32 billion intact.
The potential $1 billion round of funding would add to the $400 million FTX raised in January, and could indicate strong investor confidence in the company despite the industry going through a long crypto winter.
Other details are scarce at this stage, but the sources said some of the new funds would be spent on more steering and trading in the crypto space, which is unsurprising given the active FTX and SBF’s quantitative research firm Alamada Research are in the running. been. market.
A potential FTX acquisition from beleaguered cryptocurrency lender Voyager Digital has been rumored since July, after it outlined a joint proposal with Alameda to buy Voyager following its bankruptcy filing.
The proposal was rejected by Voyager, describing it in the New York court’s foreclosures as “a low-ball bid disguised as a rescue of a white knight” and as a move “intended to generate publicity for itself rather than of value to Voyager’s customers.”
However, FTX has remained on the hunt as Voyager began auctioning its remaining assets on September 13.
According to a Sept. 20 report from The Wall Street Journal (WSJ), both Binance and FTX would now be the top bidders for Voyager’s assets, with Binance’s bid being around $50 million and FTX just slightly below that figure. . The auction will run until September 29 and the WSJ stated that neither bid has been accepted at this stage.
Related: Alameda Research Gladly Returns $200 Million Loan to Voyager Digital
Earlier this month, FTX Ventures, an investment arm of the company, announced it would acquire a 30% stake in Anthony Scaramucci’s wealth manager SkyBridge Capital for an undisclosed amount.
In June, FTX also signed an agreement to buy Canadian crypto platform Bitvo as part of wider plans to expand into Canada. A month earlier, FTX US also signed a deal with troubled lender BlockFi to provide it with a $400 million revolving credit facility and an option to buy the company for approximately $240 million.