The CEO of FTX considers that there could be a possibility to reboot the exchange. John Ray, the current CEO of the exchange, said that they are working in order to restart the crypto exchange FTX.com. This platform collapsed in early November 2022, pushing the whole cryptocurrency market lower and ending up with investors not being able to redeem their funds.
Could FTX be restarted?
A new task force has been put in place in order to restart the FTX.com cryptocurrency exchange, according to John Ray, the CEO of the trading platform. As per the Wall Street Journal, there seem to be plans to restart the exchange after it filed for bankruptcy in November 2022.
In this report, Ray explains that stakeholders consider that the exchange could conduct a “viable business” and that there could be a new beginning for this platform. These stakeholders base themselves on the assumption that there are close to $5.5 billion of liquid assets that could be used.
It is worth pointing out that the collapse of the FTX trading platform created problems for the whole crypto ecosystem in recent months. Multiple companies have been affected by the collapse of this exchange, and the contagion effect has been large. Despite that, the crypto community made large efforts in order to reduce the impact of FTX’s implosion.
Just yesterday, Sam Bankman-Fried, the former CEO of FTC, wrote on Twitter that FTX US is solvent, “as it always as been” (sic).
The main question about the platform is how the CEO and the parties involved will work so as to repay users and reimburse clients that have been affected by the whole collapse of this platform.
1) S&C files, claiming FTX US is insolvent
2) S&C forgot to include bank balances, ~$428m
3) Once you add those back in, you get in the neighborhood of my prior balance sheet (~+$350m)
4) Other slides in the same filing demonstrate (2)
— SBF (@SBF_FTX) January 18, 2023
As you can see in the tweet above, SBF disagrees with the way in which FTX’s balance sheet has been calculated, creating more confusion in a process that seems that will take longer to be solved and closed.
Crypto Market Update
After Wednesday’s market correction, cryptocurrencies are being traded stably. Bitcoin (BTC), for example, is now standing at $20,875 with a market capitalization of $403 billion per coin. Ethereum (ETH), Bitcoin’s follower, has registered the same gains as BTC (0.1%) in the last 21 hours to reach a price per Ether of $1,533, according to CoinGecko.
Other digital currencies among the top 10 have followed the same pattern. There were no major gainers or losers in a day that seems to be quite stable as well for traditional financial markets. The question would now be related to when the new bull market would start and if we can see a new move downwards in the coming weeks or months.