CoinShares Announces Successful Sale of FTX Claim; BitFlyer Acquires FTX Japan
Summary:
Digital assets investment firm, CoinShares International, has successfully sold its FTX claim, expecting a recovery rate of 116%, or £31.32 million ($39.78 million). CEO Jean-Marie Mognetti has highlighted this as a significant win for the company, enabling it to offer enhanced returns to shareholders, provide better services to clients, and continue to pursue growth opportunities. Despite previous losses due to exposure to Terra (LUNA), the company remains resilient in the digital asset market. Additionally, BitFlyer, the Japanese crypto exchange, is set to acquire the Japanese branch of the collapsed FTX platform.
Digital asset-focused European investment firm, CoinShares International, has confirmed the profitable sale of its FTX claim. This transaction, which remains pending standard closing conditions, is expected to bring a recovery rate of 116%, net of brokerage fees, as detailed in the company's official announcement. This figure is equivalent to a recooperation of £31.32 million ($39.78 million) from a claim worth £26.6 million ($33.78 million).
Prospective benefits for both shareholders and customers
CoinShares stands to gain from the successful FTX claim sale, giving it the ability to deliver higher returns to shareholders and augment the suite of services it offers to clients.
CoinShares' CEO, Jean-Marie Mognetti, underscored the significance of this development, expressing:
"CoinShares has greatly benefited from the favourable resolution of the FTX case. Our success in achieving such a remarkable recovery rate is a reflection on the efficiency and skill of our team."
As per the press release, the proceeds from the sale will be funnelled into “growth opportunities”, to bolster CoinShares' standing in the market.
"We are committed to channelling this success into rewarding our shareholders and propelling growth and innovation within the digital asset industry."
Substantial losses in the past
In August 2022, CoinShares' Q2 interim results showcased losses to the tune of $21.7 million due to its exposure to Terra (LUNA), which nose-dived in the same year. However, despite such a significant blow, Mognetti asserted that CoinShares had adequate resources to maintain market participation due to a robust strategy. This resilience and strategic effectiveness have been clearly demonstrated through the recent successful $39.78 million FTX claim recoupment.
BitFlyer's acquisition of FTX Japan
On June 20, BitFlyer, a Japanese crypto exchange, confirmed its intention to purchase the Japanese division of the now-defunct FTX platform. Initially, the FTX Japan will undergo rebranding under BitFlyer Holdings as New Custody Company, until an appropriate new name is decided upon. A local report estimates that the acquisition will cost BitFlyer billions of yen, which is in the scale of tens of millions of dollars.
Published At
6/24/2024 1:34:18 PM
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