Backpack Exchange Acquires FTX EU for $32.7 Million

Backpack Exchange, formed by former FTX employees, has acquired FTX EU for $32.7 million, aiming to expand its crypto derivatives offerings in Europe. Despite the acquisition being approved by the Cyprus Securities and Exchange Commission and the FTX bankruptcy court, the FTX estate disputes the legitimacy of the sale, asserting that the transfer of shares to Backpack has not yet occurred. The FTX bankruptcy estate clarified that Backpack was not authorized to distribute any funds to FTX customers and that it has no role in returning those funds. Backpack maintains that the purchase was legitimate and completed in accordance with regulatory approvals, emphasizing its intention to return customer funds as soon as early 2025. The ongoing legal and operational uncertainties highlight the complex fallout from FTX's collapse and the fragmented ownership of its assets.