Former Wall Street trader Sam Bankman-Fried founded cryptocurrency exchange FTX three years ago. Today, CEO Bankman-Fried is widely known for supporting cash-strapped businesses. He has already made several loans of hundreds of millions of dollars to companies. He also tried to acquire cryptocurrency companies that were having financial difficulties. Today, his company is considered a leader in its field, after Binance.
FTX exchange revenue increased
FTX recorded a 1000% increase in revenue. This happened last year when there was a craze for cryptocurrencies. FTX’s revenues have grown from $89 million in 2020 to over $1 billion in 2021. Sam Bankman-Fried’s company posted a net profit of $388 million last year. Yet in 2020, that profit was just $17 million.
The exchange’s growth exploded in 2021 thanks to its global trading activity. At the same time, for its expansion throughout the world, the company decided to make several acquisitions. FTX notably bought startups in Switzerland and Australia. Note that in January, the company raised funds, with $400 million coming from several investors.
Recall that in July, the exchange FTX signed a contract offering it the possibility of acquiring the lender BlockFi. During the same month, he tried to acquire the South Korean company Bithumb. In August, he made a proposal to buy Voyager which called it “low price offer“. You should know that FTX is a big competitor of Binance.
FTX had $270 million in revenue in the first quarter of 2022. It was on track to successfully register around $1.1 billion in revenue this year. Only, analysts believe that there is no concrete explanation of how the exchange survived the second quarter with the crypto winter.
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