Key conclusions
- Backpack Exchange acquired FTX EU for $32.7 million with regulatory approval from Cyprus and the FTX bankruptcy court.
- Launching in the first quarter of 2025, Backpack aims to become Europe’s only regulated provider of perpetual futures, leveraging its MiFID II licence.
Backpack Exchange, founded by former employees of FTX and Alameda Research, has acquired FTX EU for US$32.7 million in a deal approved by Cypriot regulators and the FTX bankruptcy court.
The takeover includes a commitment to distribute assets owed to FTX EU customers through the bankruptcy claims process.
“We are fully focused on working with all relevant parties to recover customer funds in the EU. This is our top priority,” said Backpack CEO Armani Ferrante.
The company plans to launch its European operations in the first quarter of 2025, offering perpetual futures and other crypto derivatives.
FTX EU, formerly Digital Assets AG, acquired FTX in 2021 for $323 million ahead of FTX’s bankruptcy in 2022.
Backpack Exchange is looking to establish itself as Europe’s only regulated perpetual futures provider, leveraging its MiFID II license and awaiting notification from MiCA.
Ferrante noted that competitors such as Coinbase and Bitstamp have obtained derivatives licenses but have yet to introduce permanent futures trading in the EU.
Founded in 2022 by Ferrante, the prominent developer of Solana, Backpack initially started with a custodial-free Backpack Wallet and then expanded into derivatives trading.
The company raised $17 million in funding last year despite losing operating funds during the FTX collapse.
Backpack EU plans to launch a full suite of cryptocurrency trading products, with some launches expected later in 2025.
