BlockFi Acquisition: FTX Offers $240 Million, Secures $400 Million Credit Line

The latest news surrounding BlockFi reveals a complex situation. Facing liquidity challenges, BlockFi has secured a critical $400 million revolving credit facility from FTX US, a move confirmed by BlockFi CEO Zac Prince in a Friday Twitter thread. This financial lifeline provides much-needed support to the crypto lending firm.

However, the story doesn\'t end there. Reports indicate that FTX has also entered into a "definitive" agreement to potentially acquire BlockFi. The cryptocurrency exchange FTX has struck a deal that gives it an option to buy troubled crypto lender BlockFi Inc. for as much as $240 million, BlockFi said Friday.

Details are still emerging, but the potential acquisition price is performance-based. FTX on Thursday closed an anticipated deal with BlockFi to acquire the troubled crypto lender for up to $240 million, depending on the startup’s performance triggers. This means the final figure could fluctuate based on how well BlockFi performs moving forward. Sam Bankman-Fried’s cryptocurrency exchange FTX has inked a deal with troubled crypto lender BlockFi with the option to acquire for up to $240 million.

So, while BlockFi receives $400 million in credit, the future remains uncertain. FTX.US is buying BlockFi for $240 million, Zac Prince has announced. The crypto lender will also receive $400 million in credit. The acquisition, potentially valued at $240 million, suggests FTX is taking a strategic step to consolidate its position in the crypto lending space.

Keep checking back for updates as this story develops.