FTX issued a formal statement on January 8, 2025, to clarify details surrounding Backpack entities’ claim of acquiring FTX EU Ltd. This follows Backpack’s January 7 press release, which falsely suggested its involvement in asset recovery for FTX EU’s former customers.
FTX stressed that Backpack’s announcement was made without its knowledge or approval and contained several misleading statements. In its clarification, FTX confirmed that 100% of FTX EU’s share capital remains owned by FTX Europe AG, a subsidiary of FTX.
Despite a previous settlement agreement to sell FTX EU, the U.S. Bankruptcy Court overseeing FTX’s Chapter 11 proceedings has not approved any transfer. FTX further emphasized that Backpack has no involvement in the bankruptcy process or in returning funds to FTX EU’s former customers.
The exchange also addressed concerns about Backpack’s responsibility for repaying EU customers. FTX made it clear that only FTX EU is authorized to determine and return funds owed to its customers.
The court’s bankruptcy plan does not permit any distributions to creditors by Backpack. FTX also updated stakeholders on its bankruptcy plan, which became effective on January 3, 2025.
Distributions to claimants are expected within 60 days, pending regulatory approval. FTX urged stakeholders to rely on official communications to avoid confusion. These updates come amidst media speculation about potential legal moves concerning FTX founder Sam Bankman-Fried.
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