FTX beats its peers – FTX just shook up the rankings of the largest crypto fundraisers. In a historic funding round, which has been in the works since May 2021, Sam Bankman-Fried
‘s exchange managed to raise $900 million. Investors have been jostling at the gate to be able to participate in this prestigious fundraiser, so much so that 60 of the biggest names in venture capital have joined this venture.
The meteoric rise of FTX
Launched in 2019, FTX has become one of the most popular exchanges in the crypto ecosystem. The platform is best known for launching new products at a faster pace than its competitors. For instance, the company has launched a wide range of derivative contracts related to cryptos, listed companies
, and even commodities, such as timber. <img src=”//www.w3.org/2000/svg’%20viewBox=’0%200%20752%20526’%3E%3C/svg%3E” alt=’Monthly trading volumes on FTX showing parabolic growth between October 2020 and April 2021″ width=”752″ height=”526″ /><img src=”https://yellowrocketagency.com/wp-content/uploads/2021/07/Screen-Shot-2021-07-20-at-12.25.32-PM.png” alt=’Monthly trading volumes on FTX showing parabolic growth between October 2020 and April 2021″ width=”752″ height=”526″ />Monthlytrading volumeson FTX – Source: The Block
Last year, FTX had made $85 million in fee revenue. For 2021, the exchange would now be on track to generate more than $800 million in profits. That means the company’s revenue has grown more than 10-fold in 2021 and 75-fold since its Series A closed in mid-2020.
The exchange is the most popular derivatives marketplace. With over 1 million users and a daily trading volume of over $10 billion, FTX has established itself as one of the industry leaders. With open interests for its bitcoin futures market having reached $3 billion by April 2021, this makes FTX the fourth most popular platform for derivatives traders
just two years after its launch.
FTX’s success is closely tied to the genius of its founder and CEO, Sam Bankman-Fried. Bankman-Fried, a quantitative trader by training, became the darling of the financial press. He gained attention in the U.S. during the 2020 presidential election as one of President Joe Biden’s top donors. More recently, FTX has made headlines
s for securing the naming rights to the Miami Heats’ stadium
900 million dollars for a valuation of 18 billion dollars
From May 2021, rumors began to circulate about a possible fundraising for FTX. Already, the figures put forward were spectacular: a fundraising of $1 billion for a valuation of $10 billion.
“I am incredibly humbled by the support we have received. This is our first major fundraiser, but through it, we’ve formed an extremely valuable set of partners. I look forward to working with them to make FTX the best company it can be. We started as a new derivatives exchange two years ago, and this round of funding will help us continue to build a bigger, broader vision of what FTX could become. “
Sam Bankman-Fried The
closing of the fundraising round
just announced, and the result exceeds all expectations. FTX just raised $900 million in its Series B round, for a valuation of $18 billion. With this round of funding, FTX obliterates the fundraising record set by Circle in June ($440 million)
Participants included SoftBank, Sequoia Capital, Paradigm, Lightspeed, Third Point, Alan Howard, Izzy Englander and the Paul Tudor Jones family, among others. A total of 60 investors participated in FTX’s fundraising.
The funds will allow FTX to expand its user base and continue to build out its product offerings. The company will also look to expand the partnership network it has for its FTX Pay, FTX Liquidity program and FTX NFT product lines. With this influx of capital, FTX will also be able to continue its ambitious marketing partnership policy, following on from agreements with <a href=”https://journalducoin.com/ac
If this information doesn’t convince you that FTC is a Bitcoin giant with an unusual destiny, nothing will! And if on the contrary, you want to embark on the FTX adventure, and start accumulating and trading your first bitcoins you can sign up on the FTX reference platform and immediately benefit from a lifetime discount on your trading fees (affiliate link).