One of Japan’s leading cryptocurrency exchanges, bitFlyer, is reportedly in the process of acquiring FTX Japan in its entirety. This move comes as bitFlyer aims to rebrand the FTX subsidiary and instill trust in its customers. The acquisition has been kept under wraps until now, with details slowly emerging as the transaction nears completion.
Sources familiar with the matter have revealed that bitFlyer’s parent company has made an offer to purchase FTX Japan. This acquisition is closely tied to the ongoing bankruptcy proceedings of FTX in the United States.
bitFlyer is set to acquire all of FTX Japan’s shares and take over management of the company, according to local Japanese media outlet NHK. The estimated purchase price, which is said to be several billion yen, reflects the strategic significance of FTX Japan’s position in the market.
FTX, once a major player in the global cryptocurrency industry, filed for US Chapter 11 bankruptcy protection in November 2022. With over 130 related businesses listed in the bankruptcy case, it became the largest bankruptcy in the history of the cryptocurrency industry. As a result, FTX Japan faced operational limitations, including a temporary halt on asset withdrawals imposed by the Japanese government. Following its demise, the exchange actively sought a buyer for its Japanese affiliate.
Furthermore, bitFlyer is expected to undergo a significant rebranding of the FTX subsidiary. This rebranding aims to restore customer confidence amid the ongoing legal issues. As the transaction progresses, stakeholders are closely monitoring its potential impact on Japan’s cryptocurrency ecosystem.
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