Tue, Oct 15 2024

Pantera Capital secures more discounted Solana tokens through successful bid in FTX's bankruptcy auction.

April 27, 2024
1 Min Read

According to reports, a defunct exchange put up another auction for discounted SOL tokens, which the California-based venture capital company Pantera Capital purportedly won.

A second pack of discounted Solana's SOL tokens was won by Pantera Capital, a Menlo Park-based cryptocurrency venture capital firm, at an auction conducted by the administrators overseeing the bankruptcy case of the defunct FTX cryptocurrency exchange.

The company reportedly won 2,000 SOL tokens earlier this week, which are presently worth about $288,000 at market value, according to a Bloomberg story. The sources state that the tokens were sold at a "higher price than the roughly $60 price garnered at the previous auction," yet it is still unknown at what discount the business got the tokens.

While it's unknown who else participated in the auction, Pantera is known to have been "among the winning bidders." According to reports, the FTX estate sold Galaxy Digital, another cryptocurrency-focused investment business, and Pantera around two-thirds of a $2.6 billion stash of Solana tokens at the prior auctions.

Anticipatedly, the 41 million SOL tokens that the FTX estate is offering for sale will be locked in accordance with a pre-arranged vesting term, which means that they cannot be traded on the open market. It's yet unknown, though, if these tokens may be exchanged through over-the-counter (OTC) transactions.

At the height of the bankruptcy process, FTX had 21,482 BTC and around 60 million SOL tokens.

Allegations of fraud and misuse of billions of dollars in client cash involving FTX's founders and connected hedge fund Alameda Research led to the bankruptcy of the company in November 2022. The exchange's CEO, Sam Bankman-Fried, was compelled to repay $11 billion and received a 25-year jail term.

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