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Report: FTX Management Seeks Investors to Revive Defunct Crypto Exchange; Exchange Token FTT Surges

Report: FTX Management Seeks Investors to Revive Defunct Crypto Exchange; Exchange Token FTT Surges

FTX management is actively seeking potential participants to revive the formerly defunct crypto exchange, as reported by sources knowledgeable about the situation. CEO John J. Ray III and other FTX executives have reportedly engaged in preliminary discussions with prospective investors, who could either acquire full ownership of the business or establish a joint venture.

FTX Aims for Resurgence: CEO and Executives Enter Discussions to Bring Back Crypto Exchange

Over the past few days, FTX’s native exchange token, FTT, has experienced a substantial surge in value. In the last 24 hours alone, the crypto asset has seen a 40% increase. Furthermore, within the past week, FTT’s value has soared by over 100%, as it surpassed the $2 threshold on Thursday, June 29, 2023. This recent spike in FTT’s price is attributable to renewed speculation surrounding the potential reboot of FTX. The latest speculation originated from a report in the Wall Street Journal, which cites sources familiar with the matter stating that FTX management is actively seeking investors for the concept of FTX 2.0.

Court filings and the current CEO of FTX, John J. Ray III, have confirmed these efforts on several occasions, stating, FTX “has begun the process of soliciting interested parties to the reboot of the FTX.com exchange.” According to insiders cited by the Wall Street Journal (WSJ), FTX has entered into discussions with potential investors to explore the possibilities of a comprehensive relaunch, either independently or through a collaborative endeavor. It is worth noting that the revamped exchange would likely undergo a rebranding process, and discussions are underway regarding granting stakeholder positions to customers with outstanding claims, the report’s sources say.

Investors interested in participating in a joint venture or providing financial backing are encouraged to express their interest to FTX management within this week, as disclosed by the individuals familiar with the matter interviewed by the WSJ reporters. The recent surge of FTT has sparked a heated debate among social media users regarding the prospects of an FTX reboot. While some enthusiasts eagerly support relaunching the cryptocurrency exchange, others dismiss the idea as a futile endeavor. Lawyers had already entertained the notion of a reboot in mid-April 2023, and CEO Ray broached the topic of re-establishing the exchange during his first interview after FTX collapsed.

Each time such announcements circulate, FTT’s price skyrockets. However, as the initial excitement dissipates, the token’s value against the U.S. dollar plunges significantly. The abysmal fundamentals of the token remain unchanged, even in the event of a relaunch, as the main deployer address distributed the entire supply after FTX’s bankruptcy. Moreover, statistics from FTT’s rich list reveal that the top ten wallets hold a staggering 93.61% of the total supply, while the top 20 wallets account for 96.24%.

What are your thoughts on FTX’s potential revival and the recent surge of FTT? Share your views and opinions about this subject in the comments section below.



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