FTX plans to promote stake in Mysten Labs for $96M

FTX has submitted a movement by means of which it intends to promote its stake in Mysten Labs, based on a chapter court docket submitting on March 22.

The worth of the sale is estimated to be greater than $96 million. About $95 million of that quantity consists of shares, although it additionally consists of $1 million of SUI token warrants — that’s, a promise to obtain Mysten Labs’ future crypto token when it’s launched.

FTX acquired these property by main a Collection B fundraising spherical for Mysten Labs in August 2022 and in different transactions round that point. The fundraiser introduced in $300 million from FTX and different firms and raised Mysten Labs’ valuation to $2 billion.

Proceeds from the sale are supposed to assist return worth to clients within the aftermath of FTX’s collapse.

Mysten Labs builds the Sui Blockchain, which goals to behave as a competitor to Ethereum whereas offering better scalability and transaction throughput. The undertaking has gained preliminary assist from Chinese tech and commerce giant Tencent.

The Sui Blockchain continues to be in its early stage and its SUI token is just not in circulation.

Journalist at CryptoSlate

Mike educated in library and data sciences earlier than shifting into crypto writing in 2018. He lives on the West Coast of Canada.