- Pantera Capital aims to raise up to $250M to buy a large portion of FTX’s Solana (SOL) tokens at a discounted price after FTX’s bankruptcy..
- Pantera estimates FTX still holds ~41M SOL worth ~$5.8B and would need to hold the purchased tokens for up to 4 years.
- The news has boosted Solana’s price 13% to a 2-year high of over $140 as the market sees the purchase as a vote of confidence in Solana.
Pantera Capital, a major crypto investment firm, is raising funds to purchase a large chunk of FTX’s holdings of Solana’s SOL tokens. This comes after FTX’s high-profile bankruptcy in November 2022.
Background on FTX’s Collapse
FTX, the large crypto exchange, collapsed last year after a liquidity crisis. FTX founder Sam Bankman-Fried stepped down as the company filed for bankruptcy protection. In September 2022, FTX was given court approval to sell its crypto assets like Bitcoin, Ethereum, and Solana.
Details on Pantera’s Plan
Pantera aims to buy up to $250 million worth of FTX’s Solana tokens at a discounted price. Marketing materials indicate Pantera estimates FTX still holds at least 41 million SOL worth around $5.8 billion. Pantera would need to hold the tokens for up to 4 years after purchase. The fund requires a minimum $25 million investment.
Market Reaction
The news has been positively received so far. Solana’s price has jumped 13% in the past day to over $140, a 2-year high. Pantera is seen as a respected firm in crypto.
Conclusion
The purchase of FTX’s SOL by Pantera Capital shows continued interest in Solana despite FTX’s fall. The deal also exemplifies crypto firms looking to buy assets from bankrupt companies at favourable prices. Time will tell if the purchase proves successful for Pantera and helps provide support for Solana.
