In January, the company witnessed an increase in capital by $400 million in the Series C round.
Sam Bankman-Fried-led popular crypto exchange FTX is said to be in conversation to increase its valuation to $32 billion in a new funding round by raising an aggregate sum of $1 billion.
According to a report that referred to people with insider information, the plan is all set to be implemented. However, the crypto firm remained unavailable to comment on the alleged news.
The company was seeking investors to raise more funding in July this year too. A couple of months ago, the reports suggested that FTX was looking for a funding round that generated equivalent money as its previous rounds. The proposal followed after the company struck deals to amass and develop competitor companies that were experiencing trouble in the volatility of the crypto market. FTX also tried sealing a deal with the infamous crypto lender Celsius but backed out as soon as it witnessed a $2 billion gaping hole in the company’s balance sheet.
The January series C round of the firm witnessed an increase in capital by $400 million at a $32 billion valuation. Other participants in the round include Softbank, Paradigm, Tiger Global, etc.
FTX’s US enterprise has flourished because of the interest it garners from its flashy publicity stunts. The company openly claims to compete with household names and crypto veteran companies like Robinhood.
While the negotiations and deliberations are still ripe, the firm plans to utilize the incoming funds for more deal-making jobs.
Since the dawn of crypto winter, FTX has been on a purchasing spree and has been shelling money on distressed assets and cracking deals with suffering companies. Talking about the future of the overseas business, the Chief Executive Officer of FTX, Bankman-Fried explains the various ways in which the firm will play against its off-shore competitors. Even though the company demands a significant chunk of the market share in bitcoin futures trading by expanding its entire user base to sixty percent since October, it is still not close to Binance, OKEx, and ByBit in terms of volume.
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