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
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

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 an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by Block.one; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.

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