- FTX debtors have reached an agreement with an affiliate of Miami International Holdings to sell LedgerX.
- LedgerX will be sold to M7 Holdings for $50 million after it emerged as the top bidder in the exchange’s bankruptcy auction.
- FTX US acquired LedgerX’s parent firm for $298 million back in 2021.
FTX is set to sell its futures and options exchange and clearinghouse unit LedgerX to an affiliate of Miami International Holdings. The bankrupt crypto firm and its associated debtors reached an agreement with M7 Holdings LLC to sell the crypto derivatives exchange after M7 Holdings emerged as the top bidder during the exchange’s bankruptcy auction.
FTX’s Deal Is Subject To Approval From The Bankruptcy Court
According to a press release from FTX earlier today, the LedgerX deal was agreed upon after a comprehensive sales process as part of the Bahamas-based exchange’s Chapter 11 proceedings that included multiple bidders. The total proceeds from this transaction is expected to be approximately $50 million. Court filings show that a sale hearing was initially scheduled for April 12, but was postponed two days ahead of the hearing. The deal is subject to approval from the U.S. Bankruptcy Court for the District of Delaware and the U.S. Commodities and Futures Trading Commission (CFTC)
We are pleased to reach this agreement with MIH, which is an example of our continuing efforts to monetize assets to deliver recoveries to stakeholders.”
John Ray III, CEO and Chief Restructuring Officer of FTX.
Ledger Holdings, the parent company of LedgerX, was acquired by FTX US in 2021 for a whopping $298 million. Crypto hedge fund LedgerPrime, a part of the parent firm, announced in September last year that it would return external capital to investors and continue managing the $400 million in assets under management (AUM) it had at the time. LedgerX reportedly had a trading and clearing revenue of $1.2 million and a negative EBITDA of $17 million in 2022.
Source : Ethereum World News