Backpack Exchange Acquires FTX EU to Expand Crypto in Europe

Backpack Exchange, a globally recognized, fully regulated cryptocurrency platform, declared today that it has successfully finalized the acquisition of FTX EU, the European branch of the failed cryptocurrency exchange FTX. This transaction received approval from both the FTX bankruptcy court and the Cyprus Securities and Exchange Commission (CySEC), marking an important step in expanding the business’s reach across Europe.

As a researcher, I’d like to highlight an interesting development: FTX EU, previously licensed under MiFID II, Europe’s finance markets regulation, has now been acquired by Backpack. This move places the licensing under Backpack’s control. Excitingly, with this acquisition, Backpack is set to expand its offerings, enabling the trading of a diverse range of cryptocurrency derivatives, including perpetual futures, across Europe.

FTX EU, along with its MiFID II License, has been taken over by Backpack. Our immediate focus is on returning all EU customer funds, which are being held for the FTX estate.

Subsequently, we aim to introduce a comprehensive range of spot, margin, and futures trading services.

Moreover, cryptocurrency perpetual swap trading is making a comeback in Europe 🇪🇺.

— Backpack 🎒 (@Backpack) January 7, 2025

On the European continent, regulated cryptocurrency derivatives have been limited in availability because many unregulated trading platforms were forced out of Europe by regulatory measures.

In the words of Armani Ferrante, CEO of Backpack Exchange, this strategic acquisition emphasizes our dedication to maintaining top-tier regulatory compliance. Obtaining a MiFID II license marks a crucial milestone in our journey to provide secure and transparent cryptocurrency trading to an underrepresented European market that is currently underserved.

Under the terms of the acquisition, Backpack EU will introduce fresh cryptocurrency offerings and assume the task of distributing funds to previous FTX EU clients. In this transaction, Backpack has pledged to expedite and ensure secure compensation for these customers, thereby aiding in reestablishing trust within the industry following the downfall of FTX. This commitment is aimed at restoring confidence among users.

Beyond that, Backpack EU is designed to work effortlessly with conventional payment methods such as SEPA transactions and bank wires. This means European users can easily add or withdraw funds using these well-known systems.

1) It’s anticipated that the platform will go online by the first three months of the year 2025. More information about account creation and retrieval of funds for past FTX EU users is coming soon.

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2) We expect the launch of our platform in Q1, 2025. Details concerning sign-up procedures and access to funds for previous FTX EU clients will be shared shortly.

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2025-01-07 14:44