FTX To Relaunch International Arm As Court Confirms Trial Date For Bankman-Fried

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Bankrupt cryptocurrency exchange FTX has begun talks to relaunch its international arm, according to a Wall Street Journal (WSJ) report on Wednesday.

The report stated that the exchange’s Chief Executive Officer, John J. Ray III, said the company “has begun the process of soliciting interested parties to reboot the FTX.com exchange.” 

John J. Ray III, who has been in charge of FTX since November, has been leading the company’s restructuring efforts following its bankruptcy filings. 

These efforts included the sale of FTX crypto derivatives platform LedgerX for $50 million and the proposed sale of the company shares in Mysten Labs Inc., currently valued at $95 million. 

Back in January, Ray had first mentioned the possibility of restarting the international arm of the exchange, stating that he had commissioned a task force to explore that possibility. 

FTX.com May Restart As A Joint Venture

The Wall Street Journal report states that FTX is exploring various options, including a joint venture, as it revives its international division.

Currently, there is interest from Figure, a blockchain company located in the United States, regarding the potential deal. However, the bankrupt exchange’s management is still waiting for additional signs of interest from other investors before the week’s end.

WSJ reports that the exchange may compensate current customers by providing them with a share in the relaunched international exchange. That said, the FTX collapse remains one of the biggest damaging events in the crypto space leading to the total crypto market cap falling below $1 trillion.

After some leverage and solvency concerns of FTX’s trading arm – Alameda Research – were brought to the limelight, a surge in customer withdrawals led to a liquidity crisis that forced the company to file for Chapter 11 bankruptcy on November 11.


Total Crypto Market Cap Valued At $1.129 Trillion On The 1-Minute Chart | Source: TOTAL Chart On Tradingview.com

FTX Founder Set To Face Trial In October

In other news, FTX Founder Sam Bankman-Fried is set to face trial on October 2 after U.S. District Judge Lewis Kaplan rejected his request to dismiss most of the charges levied against him by the U.S. government. 

In May, Bankman-Fried submitted a legal petition to the court seeking the dismissal of 11 out of the 13 criminal charges leveled against him. He argued that these charges were based on a fraud theory, which had been nullified by the U.S. Supreme Court in April, per Reuters.

Sam Bankman-Fried is charged with allegedly using FTX customer funds to cover Alameda Research market losses and using friends’ names to make illegal donations to U.S. political campaigns. 

Featured Image: Forbes, chart from Tradingview

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