BlockFi CEO denies CNBC’s claims that the company is being sold for $25 million
Cryptocurrency lending platform BlockFi Rejected Claim Cryptographic exchange FTX was in talks from CNBC to buy the company for $ 25 million. BlockFi CEO Zac Prince on Twitter Dispel rumors.. The founder said in a tweet:
“There are a lot of rumors in the market. We can be 100% sure that it isn’t selling for $ 25 million. We recommend trusting only the details you hear directly. @BlockFi”
There are lots of rumors out there – we can be 100% sure we aren’t selling for $ 25 million.
It is advisable to trust only the details you hear directly @BlockFi..
Share more with you as soon as possible.
— Zack Prince (@BlockFiZac) June 30, 2022
Prince went on to say that his team would share as much information as possible with the general public. Earlier today, an anonymous source told CNBC about a personal deal between FTX and BlockFi. This is almost complete and will be signed by the end of this week.
According to the alleged transaction, BlockFi will be sold to FTX for approximately $ 25 million. This price is 99% lower than BlockFi’s previous personal rating of $ 4.8 billion, which is a huge discount. Even after the recent decline in the value of the crypto market, BlockFi was valued at around $ 1 billion by the beginning of June 2022.
According to a CNBC report, it will take several months to complete the transaction, prices may change between now and Friday, and the main reason for signing the transaction is that the end of the second quarter will fall on Friday. is. However, the report included a comment from BlockFi saying it wouldn’t talk about “market rumors” and a statement from FTX saying “I have nothing to say” about the rumored deal.
A week before the rumored deal, BlockFi $ 250 million Credit line from FTX to support the company. Prince said the credit line would strengthen their “balance sheet and platform strength.”This is not the first time the company has attracted investor interest, and in March 2021 the cryptocurrency lending platform was launched. Equivalent to $ 3 billion After raising $ 350 million in a Series D round.
