US Judge Approves FTX to Sell Anthropic Stake
A US judge has given FTX the green light to sell its ownership in Anthropic, an AI startup. This decision follows a settlement between the exchange and a group of customers who objected to the sale. FTX plans to use the proceeds to reimburse customers affected by its previous downfall.
Details of the Sale
- FTX and its affiliate, Alameda, invested $500 million in Anthropic in 2021.
- Anthropic’s reported valuation reached as high as $18 billion by December 2023, potentially valuing FTX’s stake at $1.4 billion.
- The initial attempt to sell the stake began in June 2023 but was paused for several months due to extensive due diligence by potential buyers.
- In January 2024, FTX anticipated complete reimbursement for its customers and submitted a request to sell approximately 7.84% of its Anthropic holdings.
Court Approval and Conditions
Judge John Dorsey of the Delaware Bankruptcy Court approved the sale on February 22nd after negotiations between FTX and dissenting customers. The customers had previously contested FTX’s ownership of the Anthropic shares, but agreed to the sale with the condition that they may seek reimbursement for FTX users from the proceeds at a later stage.
Utilization of Proceeds
FTX plans to use the funds from selling its Anthropic stake, along with the $6.4 billion already in its reserves, to reimburse users. The attorney representing FTX stated that this amount is sufficient to reimburse any individual who can demonstrate ownership entitlement.
Sale of Digital Custody Inc.
FTX also announced its intention to sell Digital Custody Inc., a company based in Delaware with a South Dakota license for digital asset custody, to CoinList for $500,000. CoinList’s CEO, Terrence Culver, will provide the funds. This is the same individual who originally sold Digital Custody to FTX for $10 million.
Hot Take: FTX Authorized to Sell Anthropic Stake
The approval for FTX to sell its stake in Anthropic by a US judge is a significant development. It allows FTX to proceed with its supervised asset liquidation and fulfill its commitment to reimburse affected customers. With the sale of its Anthropic stake and plans to sell Digital Custody Inc., FTX is taking steps towards resolving its previous issues and regaining trust within the crypto community.
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