Crypto entrepreneurs present case for acquiring FTX IP

Two crypto entrepreneurs have come up with a hypothetical plan to buy FTX’s IP and relaunch it as a new exchange. Planning includes opportunities, execution and risks.

Crypto entrepreneurs are considering a hypothetical plan to buy FTX’s IP and build a new exchange called Maven. CryptoJoe and Simeon.eth are discussing the idea that there is a strong case for opportunity.

Cryptozo say they are taking four parts into account of a potential purchase and launch of an exchange: rationale, business plan, operational improvement, investment and return profile, and execution and risk. He also provided a fictitious letter and a mock term sheet to the court in Delaware.

Explaining the rationale, he said that UI/UX and optionality brought users to FTX, not celebrity endorsements. He stressed that the exchange was “loved for its utility across products and markets, its tooling and optionality.” He then noted that Binance currently dominates the exchange market share.

As such, they submitted a tender proposal for FTX’s IP and several improvements; It may have some potential. The operational changes mentioned include custody and governance. The relaunched exchange will be named Maven.

CryptoJoe sees two main areas of revenue generation going forward, which are Maven Trading and Maven Staking. The former will include a spot and derivatives platform and margin lending and borrowing products. Staking allows users to own stablecoins, which can be converted into fiat and held by regulated third-party banks to buy US Treasuries.

Revenue Projections, Execution Plans, and Risks of Maven

The two men also discuss Maven’s revenue projections. Estimated trading revenue based on trading fees is $140 million per year. These are based on some assumptions, but offer a rough idea of ​​what revenue could be.

Notional Revenue Calculation for FTX Rebranded Charts by Substack
Notional Revenue Calculation: Substance

With regard to staking, he believes that this exchange could generate over $10 million. using the eth staking In this estimate, this figure has been kept at $ 2 million. Thus, the estimated total revenue is $152 million.

They also go over the execution plan of a relaunch, which will include forming a syndicate of investors, building an advisory team and board, distributing a term sheet and paying the money in installments. Risks assessed include negative macro conditions, volatilityObtaining licenses, regulations and cyber attacks.

Former FTX CEO Sam Bankman-Fried pleads not guilty

While the two have discussed a possible bid, the Manhattan US Attorney’s Office has created an FTX Task Force to track down and recover the victims’ assets and handle the investigation.

Sam Bankman-Fried has pleaded not guilty, as well as asked the judge to keep the identity of his bail bondsmen secret. two persons intended to sign his legal document $250 million bail,

disclaimer

BeInCrypto has reached out to the company or the person involved in the story for an official statement regarding the recent development, but has yet to hear back.

#Crypto #entrepreneurs #present #case #acquiring #FTX

Weeo

Weeo

Leave a Reply

Your email address will not be published. Required fields are marked *