Despite the bearish crypto market, a number of crypto-related organizations are providing massive funds.
On June 21, a crypto exchange BlockFi announced that it received a $250M credit from crypto derivatives exchange FTX. The CEO of BlockFi Zac Prince first shared the news on his Twitter account:
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According to the official announcement, the credit will provide BlockFi more access to capital during harsh crypto market conditions. Prince mentioned that the term sheet will also assist the company in strengthening the platform and boosting its balance sheet.
BlockFi's CEO also added that the credit agreement displays that BlockFi is still committed to securing and safeguarding all of its clients’ funds. “This agreement also unlocks future collaboration and innovation between BlockFi and FTX as we work to accelerate prosperity worldwide through crypto financial services,” he added.
On top of that, Samuel Bankman-Fried, the CEO and co-founder of FTX, stated that the leading cryptocurrency platform is eager to start working with BlockFi in order to introduce top-notch products and services to their customers. He also implied that this will give a lending hand to BlockFi in navigating through “the market from a position of strength.”
The money obtained from the credit facility will be utilized as required and distributed “to all client balances across all account types”, including BIA, BYP, and loan collateral. The term sheet is expected to be executed in the next few upcoming days.
In fact, this isn’t the first time when Bankman-Fried has taken action to assist numerous crypto-related projects. For example, back in March, FTX announced a $1 billion fund for up-and-coming scalable projects.
The news actually comes amid the current crypto market turmoil where a number of organizations, including Celsius, Babel Finance, and Finblox, were forced to restrict or completely shut down their withdrawals.
Moreover, the crypto giant FTX earlier issued an official statement, indicating that the company won’t let go of a single of its workers, and even search for new ones, while continuing to grow despite the roller-coaster market conditions.
On the other hand, numerous companies were forced to lay off a significant amount of their employees. For instance, earlier in June, crypto exchange Coinbase announced that it would fire around 1100 of its team members.