FTX Exchange Surpasses a $32B Valuation Despite Crypto Winter Fears
Bengaluru, January 31, 2022: Despite mounting concerns about a possible cryptocurrency market slump, leading sector firms such as FTX Exchange continue to gain traction by receiving hundreds of millions of dollars in new funding.
FTX Trading, the company that owns and operates Sam Bankman-Fried’s cryptocurrency FTX exchange, revealed on Monday that it has concluded a $400 million Series C investment round, valuing the company at $32 billion.
The fresh round of funding comes just days after FTX’s US-based sibling company, FTX US, raised $400 million in a Series A round on Wednesday, valuing the company at $8 billion. As per the Reuters, SoftBank Group Corp, Temasek Holdings, Paradigm, as well as Multicoin Capital spearheaded a $400 million investment round for FTX’s American affiliate on Wednesday.
According to the release, Singaporean state investor Temasek, virtual asset investment company Paradigm, Canada’s Ontario Teachers’ Pension Plan Board, Tiger Global, SoftBank Vision Fund 2 as well as many others participated in the current fundraise. All of the companies took part in the FTX US investment round at the same time.
The new fundraising is a significant milestone for FTX Exchange, which has raised $1.8 billion in the last six months, according to CEO Sam Bankman-Fried. According to him, the current round would enable the firm to continue introducing new products as well as extend its global presence by obtaining further regulatory permissions as well as licences.
The latest fundraising rounds for FTX come at a time when crypto markets are in free fall, with Bitcoin falling from above $50,000 in late December to as reduced as $33,000 on Tuesday. Although some cryptocurrency executives, including as Kraken CEO Jesse Powell, have predicted a new crypto winter, Bankman-Fried believes it won’t last long:
“I don’t believe we’re entering a long-term crypto winter.” Interest rate expectations have shifted, which has influenced cryptocurrency markets. But it’s also affecting markets in a broader sense.”
While the cryptocurrency market has exploded in recent years, regulators have been increasingly suspicious of digital assets, fearing that they may be used in frauds and other illegal activities.
FTX, according to Bankman-Fried, does not even have clear intentions for an initial public offering. “I’m not convinced we’ll be able to do it.” I saw it happening, and I saw it not happening. He stated, “We don’t feel because we have anything in particular we just have to do it.” FTX would “try and be prepared” if they decide to list, according to the executive, with audited accounting as well as an examination of possible listing possibilities among the preparations.
For more information, you can contact on FTX Exchange:
SBF Twitter: https://twitter.com/SBF_Alameda