Cryptocurrency exchange FTX acquires VC operations wing of Alameda Research

Investment segment of Sam Bankman-Fried’s cryptocurrency exchange FTX has reportedly  made the absorption of venture capital (VC) operations of Alameda Research, with regard to the current cryptocurrency bear market, as reported by Cointelegraph.

According to Cointelegraph, going by a Bloomberg report, Alameda’s Caroline Ellison through an interview conveyed that the merger had happened before former co-CEO Sam Trabucco announced his resignation, which left Ellison as the only person at the designation. The investment wing of cryptocurrency exchange FTX Ventures, when Alameda’s absorption reportedly started, had two billion dollars worth of assets under management. 

On the basis of information by Cointelegraph, Amy Wu, who is responsible for the venture capital (VC) fund, stated that the deal didn’t consist of any kind of payment and Alameda’s investment wing was completely under FTX Ventures. As per Wu, the firms were working independently, with the Alameda team not functioning on the venture side. In July, Voyager Digital declined a joint offer proposed by FTX and Alameda to buy out its cryptocurrency assets and outstanding loans as part of its bankruptcy proceedings. In a statement made by the firm’s legal team, at the time, the given acquisition could have been of harm to customers, while Alameda made its own offerings including supporting cryptocurrency custody firm Anchorage Digital. 

Moreover, Cointelegraph noted that Ellison would take into consideration the continuation to offer bailouts for cryptocurrency firms, which are lacking liquidity amidst a bear market. “The more important someone is, the more important it would be to try to support them,” she added.

Going by Cointelegraph’s official website, founded in 2013, it is an independent digital media resource covering news on blockchain technology, cryptocurrency assets, and emerging financial technology (fintech) trends. Their editorial content aims to deliver news, analytics, cryptocurrency price charts, opinion pieces, as well as regular reports on the transformation that digital currencies bring.

(With insights from Cointelegraph)

Also Read: Bored Apes single to be performed by Eminem and Snoop Dogg at MTV music awards

Follow us on TwitterFacebookLinkedIn

Source link

Leave a Reply

Your email address will not be published.