Binance, a leading cryptocurrency exchange and blockchain ecosystem, announced today a new strategic investment in cryptocurrency derivatives exchange FTX.
In addition to an equity investment, Binance has also taken a position in the FTX token (FTT) to help enable the sustainable growth of the FTX ecosystem, aligning with the broader scope of the partnership.
The FTX team is developing a wide range of products that will help give users access to an entire tokenized ecosystem and will be working with Binance on developing them…
FTX will also help build out the liquidity and institutional product offerings across the Binance ecosystem, including its exchange and over-the-counter (OTC) trading desk.
“Binance is a market leader which has strong synergy with derivatives platforms, and we appreciate their global industry leadership, consistent execution, and innovation. The investment will help accelerate the growth of FTX with support and strategic advisory from Binance while FTX maintains its independent operations.”
– Sam Bankman-Fried, Founder and CEO of FTX
Founded in early 2019 after receiving $8 million in funding from Proof of Capital, Consensus Lab, FBG, and Galois Capital, FTX provides professional derivative trading products including quarterly and perpetual contracts on multiple crypto assets, leverage tokens, and OTC services.
“The FTX team has built an innovative crypto trading platform with stunning growth. With their backgrounds as professional traders, we see quite a bit ourselves in the FTX team and believe in their potential in becoming a major player in the crypto derivatives markets. We are pleased to have an excellent partner joining the Binance ecosystem and aim to grow the crypto market together.”
– Changpeng Zhao (CZ), Binance CEO
Earlier this month, Binance was also on the move when it acquired Indian crypto exchange WazirX. With the acquisition, existing Indian users on Binance are now able to directly deposit and withdraw INR.
“Continuing to offer better trading products and platforms has always been our goal. The crypto exchange segment is increasingly competitive, and Binance is also in competition with our own portfolio companies. We encourage positive competition as well as partnerships that strive to bring the best products and services to the market.”
– Wei Zhou, Binance CFO