Crypto News

FTX EU sold to Backpack Exchange, regulated cryptocurrency derivatives schemes spread across Europe

FTX EU, the European arm of Sam Bankman Fried’s now-bankrupt cryptocurrency trading empire, has been sold to Backpack exchangea cryptocurrency trading company founded by former employees of Alameda Research and FTX.

FTX EU, which has a MiFID II license under the Cyprus Securities and Exchange Commission (CySEC), cost the backpack $32.7 million, the exchange said.

Backpack’s new European arm will offer a full range of cryptocurrency derivatives across the EU, leveraging its position as the only provider of regulated perpetual futures contracts across Europe, according to Armani Ferrante, CEO of Backpack Exchange.

A number of cryptocurrency trading firms have applied for a MiFID licence, which also allows firms to offer crypto asset services under the new European Markets in Cryptoassets (MiCA) regime, once notification has been submitted to the relevant national competent authority.

Currently, Bitstamp and Coinbase have obtained their MiFID II licenses, while D2Xbased in the Netherlands, has also obtained a license and plans to deliver US dollar-denominated futures and options as early as this year. last New arrivals It also aims to shift the dominance of the cryptocurrency derivatives market away from the likes of Panama-based central exchange Deribit.

Backpack’s Ferrante said the company’s MiCA notification has been filed and is expected to go live in the first quarter of 2025.

“Although a few companies have managed to gain approval for a limited form of derivatives licence, we are not aware of any players currently offering perpetual services and living in the EU, including Coinbase and Bitstamp,” Ferrante said via email. . “Once FTX EU clients have their funds refunded, we are pleased to begin offering the regulated perpetual futures product as a priority.”

Ferrante added that a full range of products are in the works, although some may not be released in the first quarter.

Backpack, whose founders have contributed to the Solana ecosystem and created a successful wallet and NFT business, It raised $17 million in finance last year.



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2025-01-07 11:00:00

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