Crypto Exchange FTX Is Looking To Raise Money For Its Acquisition Deals: Report

Prominent crypto exchange FTX backed by crypto billionaire Sam Bankman-Fried is looking to raise money to fund its acquisition deals with various crypto-related firms, according to a report.

There are several probable takeover candidates that the crypto exchange is evaluating. Some of these candidates are firms that operate retail trading platforms, CoinDesk reported Thursday, citing a person familiar with the matter.

According to the report, the deals haven't been confirmed and the negotiations are still going on. It stated that if FTX's acquisition deals with various other crypto firms fall through, it is highly likely that the exchange will not be able to raise any money.

Furthermore, FTX is also looking for the same valuation it had received the last time it raised money, i.e., in February 2022. The exchange had raised $400 million and was valued at $32 billion, the same as the market capitalization of Germany's Deutsche Boerse but greater than the Nasdaq exchange or social media platform Twitter.

"FTX will look to continue interacting with regulators to facilitate access to digital assets in a safe and compliant manner," the crypto exchange's co-founder and CEO Bankman-Fried said in a statement earlier this year. "We look forward to working alongside our investors to achieve our mission and continue our tremendous growth throughout 2022 and beyond."

Interestingly, FTX has been on an acquisition streak while Bankman-Fried is being considered the "white knight" of the crypto industry. FTX Ventures, the venture arm of the crypto exchange, recently confirmed that it is set to acquire a 30% stake in the alternative investment firm SkyBridge Capital.

Bankman-Fried's quantitative trading firm Almeda recently bailed out another digital asset exchange Voyager Digital, which was struggling with bearish market conditions.

There were also rumors that the crypto exchange was in talks to acquire the financial services platform Robinhood Markets. However, the rumors were dismissed.