Backpack, an exchange founded by former FTX executives, has completed the acquisition of FTX EU, the European arm of FTX. This completion has been approved by the FTX bankruptcy court and the Cyprus Securities and Exchange Commission.
Acquisition of FTX EU and Backpack's plans
Backpack, a crypto exchange founded by former FTX executives, has completed the acquisition of FTX EU. This move is part of their strategy to expand into the European market. The deal has received approval from the FTX bankruptcy court and the Cyprus Securities and Exchange Commission (CySEC).
Regulated crypto products
The new European branch of Backpack will offer a wide range of crypto derivatives, including perpetual futures. This comes amid other exchanges exiting the European market, leaving a gap in the regulated crypto derivatives market. Backpack Chief Executive Armani Ferrante states: "Becoming a MiFID II-licensed entity demonstrates our dedication to meeting the highest regulatory standards and is a significant step to bringing transparent, secure, and regulated crypto trading to an underserved European market."
Financial plans and Backpack's history
In addition to new product offerings, Backpack EU will handle the distribution of FTX bankruptcy claims to FTX EU customers. It will also integrate traditional payment systems, allowing users to make payments across Europe via SEPA and wire transfers. The company plans to reactivate its EU license and launch Backpack EU in Q1 2025, though no exact timeframe has been provided.
Founded in 2022 by Armani Ferrante, Backpack aims to recover and fulfill its mission to provide a secure and reliable platform for users in Europe, despite financial challenges and losses during the FTX collapse.
