FTX wants Robinhood and BlockFi, is it all fake news?
FTX wants Robinhood and BlockFi, is it all fake news?
Crypto

FTX wants Robinhood and BlockFi, is it all fake news?

By Amelia Tomasicchio - 1 Jul 2022

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A few days ago rumors began circulating that crypto exchange FTX wanted to buy Robinhood and now BlockFi, but all of them seem to be fake news.

News is now circulating that FTX has made an offer to acquire BlockFi, the popular DeFi platform, for $25 million

The price was far too low to be true, as the company’s valuation is currently over $4 billion. And, as a matter of fact, a short time passed and BlockFi’s CEO Zac Prince intervened, declaring that the news put out by CNBC was not true.

A few days ago a similar rumor was also circulating regarding Robinhood, which FTX was reportedly interested in purchasing. This news was also shortly afterwards declared to be fake news.

How come all these rumors about FTX? 

FTX is definitely an exchange that has been making waves lately. Despite the down market, the company has been in profit for as many as 10 quarters, as CEO Sam Bankman-Fried stated in an interview with Forbes yesterday. 

This is also why the company can afford to continue hiring new staff, bucking the trend of its competitors such as Coinbase, which is instead ready to lay off more than 1,000 employees.

After all, FTX wants to increase its staff by 50%, but it appears that this is not due to new acquisitions but rather more work to manage.

Moreover, perhaps the rumor is due to the fact that a few weeks ago FTX lent a $250 million line of credit to BlockFi.

FTX steps back on a deal with Celsius

One more piece of news about FTX leaked in recent days. Some time ago FTX had expressed interest in striking a deal with crypto lending platform Celsius, but apparently has now backed out because of the company’s finances. Indeed, an anonymous source has reportedly revealed that Celsius has a hole in its balance sheet of as much as $2 billion.

Celsius has been having problems for a few weeks now, most notably ever since it halted withdrawals on 12 June citing “extreme market conditions”.

Amelia Tomasicchio

As expert in digital marketing, Amelia began working in the fintech sector in 2014 after writing her thesis on Bitcoin technology. Previously author for several international crypto-related magazines and CMO at Eidoo. She is now the co-founder and editor-in-chief of The Cryptonomist. She is also a marketing teacher at Digital Coach in Milan and she is writing a book about NFTs for the Italian publishing house Mondadori, while she is also helping artists and company to entering in the sector.

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