According to the Japanese media NHK, BitFlyer, a Japanese cryptocurrency exchange, is planning to acquire all shares of FTX Japan with a budget worth billions of yen and transform it into a digital asset management or custodial company targeting institutional investors. This comes as part of the restructuring efforts of FTX, a bankrupt cryptocurrency exchange, to repay its creditors, including the sale of its subsidiaries such as FTX Japan, FTX Europe, derivative platform LedgerX, and stock trading service company Embed.
BitFlyer’s intention to acquire FTX Japan was reported today, but the exchange has not made an official statement on the matter yet, and it is unknown if there are other bidders. However, with the selling off of FTX’s subsidiaries, the FTX cryptocurrency brand may disappear forever.
FTX Japan has already suspended all services since the bankruptcy of FTX Trading, but user crypto assets have been repaid due to the separation of assets.
After the news of BitFlyer’s planned acquisition, the FTT token slightly increased by 1.1% within an hour but quickly gave up its gains and is currently trading at $1.52.
Although FTX has actively raised funds and proposed compensation plans to investors, its preference for cash payment instead of cryptocurrencies has caused dissatisfaction among its creditors. As a result, FTX victims filed a document with the U.S. District Court for the Southern District of New York on June 14, claiming that the frozen assets of FTX (approximately $8 billion) belong to their customers and not the bankruptcy assets, and requested a court ruling. The document shows that FTX applied for bankruptcy during the bear market of cryptocurrencies when their prices drastically dropped, which was highly unfair to measure the value of customer claims at that time.
FTX victims’ lawyers, Adam Moskowitz and David Boies, stated in the submitted document that many people view the bankruptcy process as a second theft.
For more information, please refer to the related reports:
– FTX Creditors Oppose Cash Repayment: It Will Cause Tax Issues, Should Be Paid in Cryptocurrencies.
– FTX Liquidation Progress Cheat Sheet: Promises Full Compensation, but Victims Shouldn’t Celebrate Too Early, SOL Dump, Repayments to Start in September.
– Latest Progress on FTX Repayments: 98% Creditors to Receive 118% Cash Repayment! Payments to Begin Before September.
– Latest Progress on Voyager Repayments: Settling with FTX, Repaying Creditors with $484 Million.