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FTX Acquires Virtual Currency Futures and Options Exchange Ledgerx

The announcement from FTX on Tuesday details that the “financial terms of the deal have not been disclosed.”

FTX Acquires Virtual Currency Futures and Options Exchange Ledgerx

FTX Acquires Virtual Currency Futures and Options Exchange Ledgerx – Ledgerx has been acquired by the cryptocurrency giant FTX, according to an announcement published on August 31. Ledgerx is a popular crypto derivatives platform that has seen “over 10 million crypto options and swap contracts” since 2017. Furthermore, Ledgerx claims the derivatives platform “pioneered the bitcoin mini contracts that enable granular trading.”

The announcement from FTX on Tuesday details that the “financial terms of the deal have not been disclosed.” The acquisition is pending at the moment and is expected to settle after customary closing conditions are satisfied.

“This acquisition marks a significant milestone for our rapidly growing U.S. business and is a key part of our strategy to bring regulated crypto derivatives to our U.S. user base,” Brett Harrison, the president of FTX.US said during the announcement. Harrison added:

We believe the integration of our technological capabilities, product portfolio and large balance sheet with Ledgerx will enhance our ability to provide innovative products to all U.S. cryptocurrency traders. We’re excited to take this step and work with U.S. regulators to ensure compliance with the existing derivatives licensing regime.

The announcement says that now that the two entities are combined, the crypto exchange can meet the needs of “retail and institutional traders alike.” Moreover, FTX aims to build a strong relationship with U.S. regulators and emphasized that it would work “specifically with the CFTC.”

Zach Dexter, the CEO and co-founder of Ledgerx believes that FTX will help forge a strong relationship with U.S. regulators.

“U.S. crypto derivatives is an incredibly underserved market,” Dexter said. “It took time and resources for us to become a regulated entity under the existing frameworks. FTX.US has taken the view, which we share, that U.S. regulators are ready and willing to partner on innovative products, and it’s the responsibility of the industry as a whole to step up and work with agencies like the CFTC,” the Ledgerx CEO added.

On Tuesday, the CEO of FTX Sam Bankman-Fried said on Twitter that “This is probably one of the most exciting announcements we’ve ever had.”

Categories: Cryptocurrency
Tags: FTXLedgerx
Haruna Magaji: Haruna Magaji is a journalist, foreign policy expert and closet musician. He is a graduate of ABU Zaria and a member of the Nigerian union of journalists. JSA, as he is fondly called, resides in Suleja, Abuja. email him at - harunamagaji@financialwatchngr.com
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