On Wednesday, the institutional brokerage service provider Ledger Holdings Inc., which FTX.US bought for $298 million in 2021, sold its subsidiary derivatives exchange LedgerX in a bankruptcy auction.
Bankrupt FTX Layers on Tuesday agreed to an agreement with M7 Holdings LLC, an affiliate of Miami International Holdings Inc., to sell FTX’s owned crypto derivatives exchange LedgerX LLC, according to a press release.
Venture capital and angel investor M7 Holdings LLC have locked the deal through an interest purchase agreement, with FTX Debtors expecting to receive $50 million.
However, the hearing for this sale kept getting postponed several times. According to the bankruptcy filing, the sale hearing scheduled for April 12 was “postponed until further notice” two days before the court (on April 10),
John J. Ray III, an American lawyer and the new Chief Executive Officer (CEO) of FTX, expressed his views on the deal with Miami International Holdings Inc. John added, “We are pleased to reach this agreement with MIH, an example of our continuing efforts to monetize assets to deliver recoveries to stakeholders.”
The deal comes with the usual closing conditions, specifically the United States Bankruptcy Court authorization. However, the transaction approval hearing is scheduled for May 4, 2023, for the transaction amount of approximately $50 million that has not yet been transferred to FTX debtors.
FTX’s crypto exchange is gradually reducing the funding burden of its borrowers. Recently, Tribe Capital stated that it will host a fundraiser worth $250M and also offer $100M in an attempt to revive FTX.
