The liquidators of FTX have labeled as “misleading” statements made by crypto exchange Backpack regarding its supposed acquisition of FTX EU and the plan to compensate former clients of the platform.

The FTX Debtors today provided clarification on certain statements by Backpack relating to Backpack’s purported acquisition of FTX EU. Read more here: https://t.co/WVwfNXBKRj
— FTX (@FTX_Official) January 8, 2025

According to FTX representatives, the company founded by ex-staff of FTX and Alameda Research released the relevant press release without FTX’s knowledge or involvement. They clarified several points made in Backpack’s announcement:

100% of FTX EU’s shares are still owned by the exchange’s European subsidiary, FTX Europe AG.
Previously, FTX creditors supported a resolution to sell the European platform to certain former insiders of FTX Europe as part of a settlement. Those insiders agreed to an indirect transfer of FTX EU to Backpack. However, the Delaware Bankruptcy Court never approved this transaction.
FTX did not grant Backpack the authority to reimburse any former clients, including FTX EU users.
Backpack has no participation in the court-approved process of returning funds to FTX customers.

“FTX expressly disclaims any responsibility for the accuracy or completeness of any information contained in Backpack’s press release, on its website, or in other communications,” concluded the liquidators.

Backpack’s Response

Backpack issued its own official statement addressing the points made by FTX. According to the company:

In February 2024, FTX entered into an agreement to sell various European assets, including FTX EU, to a group of former insiders.
In March, the transaction received bankruptcy court approval, and the deal closed in May, with the proceeds going to the FTX estate.
Subsequently, Backpack acquired those same European assets from their new owners.
Because FTX EU is a licensed entity, the deal required clearance from the Cyprus Securities and Exchange Commission, which was granted in December.
The company is now awaiting the transfer of shares in FTX EU, which will be renamed Backpack EU.

I have an enormous amount of appreciation for the FTX estate's commitment to maximizing customer returns, but my concern is that FTX EU customers may become confused here.

This is the series of events. All publicly verifiable.

– FTX EU was sold to its original founders and…
— Armani Ferrante (@armaniferrante) January 9, 2025

Armani Ferrante, CEO of Backpack, emphasized that FTX holds no responsibility for compensating any former users of its European platform. The reimbursement process will be overseen by Backpack under Ferrante’s leadership.