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Tribe Capital Interested in Sponsoring FTX’s Revival Plan (Report)

Dimitar Dzhondzhorov Apr 19, 2023 10:35
Tribe Capital might lead a $250 million funding round that aims to restart the operations of FTX.

Tribe Capital – a venture capital firm based in San Francisco – is reportedly considering leading a $250 million fundraising campaign that could help the bankrupt crypto exchange FTX get back on track. 

  • According to a Bloomberg coverage, Tribe Capital’s co-founder – Arjun Sethi – met with FTX’s committee of unsecured creditors to discuss the multi-million initiative. 

“Tribe is considering leading a $250 million fundraising campaign, anchored by $100 million from itself and its limited partners,” a person familiar with the matter said. 

  • FTX’s committee of unsecured creditors admitted it is “working with the debtors to evaluate all options to reboot or sell the FTX exchanges.” However, they said “there’s no definitive timetable” for a revival or sale of the platforms at this time.
  • The native token FTT surged by 20% shortly after the report, tapping nearly $2.30. In the following hours, though, it retraced.
  • The former crypto giant, led by Sam Bankman-Fried, filed for bankruptcy protection in November last year after revealing severe liquidity cracks and failing to honor customer withdrawal requests.
  • The event was among the darkest in the world of crypto for the entire 2022 since FTX was among the leaders in its field and was once valued at over $30 billion.
  • Its demise resulted in catastrophic losses for multiple investors.
  • Attorneys and bankruptcy experts recovered more than $7 billion of assets owed to clients recently and hinted about a possible comeback. 
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Dimitar Dzhondzhorov

Dimitar got interested in cryptocurrencies back in 2018 amid the prolonged bear market. His biggest passion in the field is Bitcoin and he was fascinated with its journey. With a flair for producing high-quality content, he started covering the cryptocurrency space in late 2018. His hobby is football.

Tags: FTX Exchange