Cryptocurrency derivatives exchange FTX has acquired digital asset management platform LedgerX for an undisclosed amount.
LedgerX is regulated by the Commodity Futures Trading Commission (CFTC) and serves both retail and institutional investors.
FTX CEO Sam Bankman-Fried said on Twitter that he was looking forward to working in a more regulated environment with the CFTC:
“We’re excited to work with the @CFTC on innovating in the US crypto derivatives space in a regulated, understood manner. Common ground between regulators and industry is the foundation of safe, sustainable innovation.”
The acquisition comes on the heels of several recent big moves by FTX.
In July, the company closed $900 million in a Series B funding round, bringing its total valuation to $18 billion.
Last week, FTX partnered with Japanese exchange Liquid by infusing $120 million after the platform was hacked for an estimated $90 million. The two entities have also “entered good faith discussions in pursuit of further collaborative opportunities.”
LedgerX CEO and co-founder Zach Dexter says of today’s announcement,
“US crypto derivatives is an incredibly underserved market. FTX.US has taken the view, which we share, that US regulators are ready and willing to partner on innovative products, and it’s the responsibility of the industry as a whole to step up and work with agencies like the CFTC.”
FTX president Brett Harrison explained that beyond regulatory compliance, the move will help to achieve the company’s strategic goals.
“We believe the integration of our technological capabilities, product portfolio and large balance sheet with LedgerX will enhance our ability to provide innovative products to all US cryptocurrency traders. We believe it is incumbent upon the industry to be proactive and to seek out working relationships with regulatory groups… to help shape the future of our industry.”
Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/dibrova