The deal comes after rumors that FTX would acquire BlockFi for as little as $25 million. On Thursday, Prince took to Twitter to deny those rumors. Nevertheless, the struggling crypto lender has now signed a term sheet with FTX US that leaves room for an acquisition.
Does BlockFi have market rumors?
A BlockFi spokesperson said the company “does not comment on market rumors.” BlockFi CEO Zac Prince pushed back on the $25 million figure in a tweet calling the figure “market rumors.” The fire sale comes a week after FTX provided a $250 million emergency line of credit to BlockFi.
Did Bankman-fried buy BlockFi?
BlockFi was one beneficiary, getting a $400 million credit line from the U.S. arm of Bankman-Fried’s exchange empire. His company also got the option to acquire BlockFi entirely for up to $240 million. The “up to” part is important. That maximum price tag was widely reported.
Who is BlockFi?
Founded in 2017 by Zac Prince and Flori Marquez, BlockFi quickly became a leadingcryptocurrency lending provider.
