FTX plans to sell stake in Mysten Labs for $96M
FTX has filed a motion to sell its stake in Mysten Labs, according to bankruptcy court filings. March 22.
The sale is estimated at over $96 million. About $95 million of that amount is made up of stock, but also includes his SUI token warrant for $1 million. In other words, a promise to receive Mysten Labs future crypto tokens when they are released.
FTX led Mysten Labs’ Series B funding round in August 2022 and acquired these assets in other deals around that time. The fundraiser raised $300 million for him from FTX and other companies, boosting Mysten Labs’ valuation to his $2 billion.
Proceeds from the sale are intended to help return value to customers in the aftermath of FTX’s demise.
Mysten Labs is building the Sui blockchain, which aims to serve as a competitor to Ethereum while offering better scalability and transaction throughput. The project gets initial support from his Chinese tech and commerce giant, Tencent.
The Sui blockchain is still in its early stages and its SUI tokens are not in circulation.