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FTX.US buys LedgerX for an unknown sum in order to enter the Bitcoin and Ether futures markets.
FTX US, the US-based subsidiary of Sam Bankman-cryptocurrency Fried’s exchange FTX, has acquired crypto derivatives platform LedgerX for an unknown sum.
FTX.US’ owner, West Realm Shire Services, announced on Tuesday that the company had executed a sale-and-purchase agreement to acquire LedgerX’s parent company, Ledger Holdings. The deal is expected to close, pending satisfaction of customary closing conditions, the firm noted.
LedgerX is a digital currency futures and options exchange regulated under the Commodity Futures Trading Commission, Swap Execution Facility and Derivatives Clearing Organization. The platform is open to individual and institutional investors, allowing them to trade bitcoin futures with physical settlement of all contracts.
According to the release, the acquisition will have no meaningful impact on LedgerX’s operations because the platform will continue to supply its present services to its existing customer base. The agreement will purportedly allow FTX.US to provide options and futures contracts on Bitcoin (BTC) and Ether (ETH) to institutional and individual clients, greatly expanding its spot trading services.
“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,” Brett Harrison, president of FTX.US, stated. He also stressed the need of the sector pursuing connections with regulators such as the CFTC.
The announcement comes after FTX.US’ affiliate global crypto exchange, FTX, posted the largest private campaign in crypto history in July, garnering $900 million. In a Monday Forbes interview, the company’s CEO, Sam Bankman-Fried, stated that the crypto derivatives market is now a “very misunderstood area,” but it has the ability to greatly broaden crypto markets by increasing liquidity and making them more efficient in general.