FTX may reopen its crypto exchange operations, reports said, citing the legal team overseeing the company. “The situation has stabilized, and the dumpster fire is out,” an FTX lawyer reportedly said at a hearing. FTX’s token more than doubled in price on the reports, which also included an update on asset recovery. Loading Something is loading.
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FTX may reopen its digital doors following the crypto exchange’s spectacular collapse last year, according to reports Wednesday, citing the company’s lawyers.
Prospects of a reboot sent FTX’s native token soaring during afternoon trade.
FTX will consider restarting its exchange operations, which could occur during the second quarter of 2024, according to CoinTelegraph, citing comments from the company’s legal at a bankruptcy court hearing.
And according to a separate report from Reuters, FTX attorney Andy Dietderich said at the hearing: “The situation has stabilized, and the dumpster fire is out.”
FTX CEO John Ray told The Wall Street Journal in January there was possibility the exchange’s operations could be revived.
Meanwhile, Dietderich also said Wednesday that FTX is starting to consider its future while the legal team still works on determining why the exchange failed under the leadership of Sam Bankman-Fried. The FTX founder is facing multiple criminal charges in the wake of the exchange’s implosion in November 2022.
FTX’s FTT token more than doubled to $2.74 from $1.32 on the reports of a potential reboot and an update from the lawyers about asset recovery.
FTX lawyers told the bankruptcy court they have recovered more than $7.3 billion in cash and crypto assets, an increase of more than $800 million since January, Reuters reported. Lawyers are searching for assets to repay FTX’s lenders and customers.