FTX Seeks Advice from Mike Novogratz's Firm Galaxy for $3 Billion Crypto Portfolio

Bankrupt crypto exchange FTX is seeking expert guidance on managing its remaining crypto assets, reportedly valued at around $3 billion. To this end, FTX is turning to Mike Novogratz's Galaxy Group for advisory services.

According to a Bloomberg report, the experts running FTX have developed a plan for comprehensive management and monetization, aiming to prepare the bankrupt exchange for its next steps. Central to this plan is finding strategic ways to handle its substantial crypto holdings.

Galaxy Digital to Advise on Selling and Hedging

Bankrupt crypto exchange FTX wants Mike Novogratz's Galaxy Group to step in as an advisor and assist it in selling and hedging crypto. This move highlights the complexity and sensitivity surrounding FTX's remaining assets, particularly given the market volatility following the exchange's collapse.

Led by crypto billionaire Mike Novogratz, Galaxy will provide advisory services to FTX with the goal of limiting its exposure to adverse price movements. The specific strategies may include selling, staking, and hedging, as FTX explores all avenues to maximize the value of its assets.

Protecting Remaining Assets Through Hedging and Yield Generation

Bankrupt crypto exchange FTX is looking to put its remaining assets safe via hedging arrangements or put to work earning yield, per new court documents. This proactive approach seeks to stabilize and potentially grow the value of the crypto portfolio during the bankruptcy proceedings.

Lawyers for the Bankrupt crypto exchange FTX want Mike Novogratz’s Galaxy Group to step in as an advisor and assist them in navigating these complex financial decisions. Billionaire Michael Novogratz, founder of Galaxy Digital Holdings, has previously stated that the downfall of FTX and several other major cryptocurrency companies could lead to further market instability, making expert advice even more crucial now.