FTX in Talks to Acquire Part of BlockFi: Report

FTX previously extended a $250 million emergency line of credit to the struggling crypto lender earlier this week.

AccessTimeIconJun 24, 2022 at 3:30 p.m. UTC
Updated May 11, 2023 at 6:47 p.m. UTC

FTX is in talks to acquire a stake in beleaguered crypto lender BlockFi, The Wall Street Journal reported Friday.

  • The potential tie-up would quickly deepen the financial relationship established when crypto exchange FTX extended a $250 million emergency line of credit to BlockFi earlier this week.
  • According to the WSJ, the talks are ongoing and no final terms have been reached.
  • "BlockFi does not comment on market rumors," a BlockFi spokesperson told CoinDesk when asked about the report. "We are still negotiating the terms of the deal and cannot share more information at this time. We anticipate sharing more on the terms of the deal with the public at a later date."
  • Sam Bankman-Fried’s trading empire has emerged as a backstop for the crypto industry amid fears of contagion in the falling markets. Last week, Alameda Research, the quant trading shop controlled by Bankman-Fried, gave a revolving line of credit to troubled crypto broker Voyager Digital (VOYG) for $200 million in cash/USDC and 15,000 bitcoin.

UPDATE (June 24, 15:46 UTC): Added comment from BlockFi and additional information on the loan to Voyager Digital.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Danny Nelson

Danny is CoinDesk's Managing Editor for Data & Tokens. He owns BTC, ETH and SOL.


Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.


Read more about