FTT Flies 45% On Rumors Of FTX Planned Relaunch

Dalmas Ngetich

1 year ago

3 mins read

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FTT, the native currency of FTX and its ecosystem, is up 45% when writing on June 28. This positive price action follows a report by the Wall Street Journal that the exchange’s new management has started receiving proposals from parties interested in restarting the exchange.

The unconfirmed report cited the chief executive officer, John J. Ray III, who took over FTX when it officially filed for bankruptcy in mid-November 2022.

Will FTX Be Restarted?

Sources report that the management team of the cryptocurrency exchange has been in discussions with investors interested in seeing the platform back up and running.

Different ownership and management structures are being considered as part of this effort. A joint venture is one option, which would involve compensating existing clients affected by the FTX bankruptcy through stakes in the new organization. Additionally, when the exchange is relaunched, it will operate under a new brand name to improve its reputation and regain trust.

Rumors of this restart are six months after Ray III said he was setting up a task force to explore resuming operations. The CEO also added that despite the alleged illegal activities committed by executives, mainly Sam Bankman-Fried and Alameda Research, the exchange’s business model was feasible. A restructuring and a restart of the exchange, observers note, will be a better outcome for its millions of clients who were adversely affected after the exchange unexpectedly filed for bankruptcy last year.

Following the collapse of FTX, the cryptocurrency market tanked, with Bitcoin and Ethereum sinking to new 2022 lows. In a bear market of last year, the FTX collapse forced BTC prices below $16k.

At the same time, FTT, the native currency of FTX, sank 92%. Despite the current expansion, the token is far from its October 2021 highs when each FTT was changing hands at over $69. When writing on June 28, FTT is trading at $1.73 with a market capitalization of $576,331,728.

FTT price on June 28|Source: FTTUSDT on Binance, TradingView

Charges Against Sam Bankman-Fried And Alameda Research

Sam Bankman-Fried, the founder of FTX, is charged with wire fraud, commodities fraud, money laundering, and bribery, among others, following an investigation by the United States Commodity Futures Trading Commission (CFTC).

The agency sought to discover whether FTX and Alameda Research knowingly engaged in market manipulation and if there was a conflict of interest. The CFTC also alleges that FTX and its trading wing, Alameda Research, failed to disclose their trading activities to clients while using their funds to support FTT prices.

Amid this, Bankman-Fried is accused of using Alameda funds to cover his expenses, including donating $10 million to a political party. He has pleaded not guilty to all charges, and a trial is planned for October 2023.

Feature Image From Canva, Chart From TradingView

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.

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