What FTX US does

FTX US was a United States-domiciled cryptocurrency exchange launched in 2020 as a subsidiary of FTX Trading Ltd., operating from Santa Barbara and serving primarily retail cryptocurrency traders with spot trading in assets such as Bitcoin, Ethereum, Solana, and Dogecoin. The platform's core technology was cryptocurrency exchange infrastructure augmented by an NFT trading platform launched in 2021 and an in-development securities trading product, FTX Stocks, intended to route, execute, clear, and custody customer securities accounts using infrastructure acquired from Embed Financial Technologies. Revenue was generated principally through transaction fees on crypto trading, with planned securities transaction fees from FTX Stocks representing a future revenue stream that never materialized at scale.

The company pursued an aggressive, capital-intensive growth strategy, raising $400 million in a Series A round in January 2022 at an $8 billion post-money valuation with participation from SoftBank, Temasek, Paradigm, and Multicoin Capital, among others. It deployed this capital into a series of acquisitions: LedgerX (a CFTC-regulated crypto derivatives platform, acquired 2021), LedgerPrime (a quantitative trading firm, acquired August 2021), Embed Financial Technologies Inc. and its clearing subsidiary Embed Clearing LLC (announced June 2022), and a strategic investment in IEX (a U.S. stock exchange operator, announced April 2022). The strategy aimed to build a vertically integrated, regulated financial services platform spanning spot crypto, derivatives, NFTs, and traditional securities.

This trajectory terminated abruptly on November 11, 2022, when FTX US and its parent FTX Trading Ltd. filed for Chapter 11 bankruptcy protection following a liquidity crisis; customer account balances were frozen as of the petition time. The proceedings triggered allegations of mismanagement and fraud, with founder Sam Bankman-Fried subsequently charged with fraud-related offenses. The operating entity is now closed, and the only active platform is the FTX Customer Claims Portal, which enables former customers to access historical account information, submit proof of claim, and track distributions through Kroll.

Name

FTX US

Website

https://ftx.us

Company type

Private

Founded year

2020

Operating status

Closed

Headcount range

1–10 employees

Short description

FTX US was a U.S.-domiciled cryptocurrency exchange that served retail traders with spot crypto, NFT, and planned securities trading before filing for Chapter 11 bankruptcy in November 2022 and ceasing operations.

Ownership category

akta.pro rank

Product category

Cryptocurrency Exchange

NAICS

Securities and Commodity Exchanges (5232), Securities and Commodity Contracts Intermediation and Brokerage (5231)

SIC

Security & Commodity Brokers, Dealers, Exchanges & Services (6200), Commodity Contracts Brokers & Dealers (6221)

akta.pro primary industry

Spot Crypto Exchanges (Order-Book & Matching Engine) (FSADAAAA)

akta.pro secondary industry

NFT Trading, Liquidity & Financialization (AMMs, lending, fractionalization, derivatives) (FSAPAFAG)

Keywords

• Cryptocurrency exchange
• Digital asset trading
• Securities trading
• NFT trading
• Crypto derivatives

Headquarters

HQ city

Santa Barbara

HQ country

United States

HQ region

North America

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Technology or R&D, Operations, Infrastructure, Marketing or Sales

Revenue model

1. Cryptocurrency Trading Fees: Transaction fees from cryptocurrency exchange trading operations
2. Securities Trading: Revenue from securities trading through FTX Stocks platform using Embed's clearing and custody infrastructure

Go-to-market motion1 record

Distribution channels1 record

Core offering

FTX US operated a cryptocurrency exchange platform enabling retail users to trade digital assets such as bitcoin, ethereum, solana, and dogecoin. The company expanded into traditional securities trading through the FTX Stocks platform, NFT trading via its dedicated NFT platform, and crypto derivatives via the acquired LedgerX platform. Operations ceased following the Chapter 11 bankruptcy filing in November 2022, with the FTX Customer Claims Portal now serving customer claims.

Product overview

FTX US operated as a cryptocurrency exchange platform (launched in 2020) that expanded into traditional securities trading through its FTX Stocks platform. The company offered digital asset trading (crypto and NFTs) via its core exchange and acquired infrastructure providers including LedgerX (crypto derivatives) and Embed Financial Technologies (securities clearing/custody) to build out comprehensive financial service capabilities. The company also invested in IEX stock exchange operator. Following the Chapter 11 bankruptcy filing in November 2022, the FTX Customer Claims Portal was established for customers to submit claims and track distributions.

Differentiator

Problem solved

Functional benefit

Brands

• FTX Stocks: Securities trading platform enabling FTX US to route, execute, clear, and custody customer securities accounts.

Products and services

• FTX Cryptocurrency Exchange A cryptocurrency exchange platform launched in 2020 that enabled users to trade a variety of digital assets, including bitcoin, ethereum, solana, and dogecoin. Targeted at individual retail traders seeking digital asset trading services.
• FTX Stocks A securities trading platform enabling FTX US to route, execute, clear, and custody customer securities accounts using Embed's clearing and custody infrastructure. Supported stock trading functionality for retail investors.
• LedgerX A crypto derivatives platform acquired by FTX US to expand digital asset trading offerings. Operated as a wholly-owned subsidiary following the 2021 acquisition.
• FTX NFT Platform A platform launched to support NFT trading within the FTX ecosystem, enabling users to buy, sell, and trade non-fungible tokens.
• FTX Customer Claims Portal An online portal enabling customers to access FTX account information, obtain historical information, and submit electronic proof of claim in the FTX Chapter 11 bankruptcy proceedings. Used by customers and creditors to view balances as of November 11, 2022 and submit or amend claims.

Segments2 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

Three partnerships are on record, tiered core.

• LedgerXcoreStrategic or Co-development PartnerFTX US acquired LedgerX to support digital asset trading capabilities. LedgerX is a cryptocurrency derivatives platform that complements FTX US's expansion strategy.
• Embed Financial Technologies Inc.coreStrategic or Co-development PartnerFTX US announced acquisition of Embed Financial Technologies Inc., including subsidiary Embed Clearing LLC, to expand financial service offerings and support the FTX Stocks platform. The deal enables FTX US to route, execute, clear, and custody all customer securities accounts using Embed's infrastructure.
• IEXcoreStrategic or Co-development PartnerFTX.US announced strategic investment in IEX, a major U.S. stock exchange operator. The deal was expected to close within the following month, representing FTX US's expansion into traditional stock exchange operations.

Scale indicators5 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Coinbase: Largest U.S.-focused centralized cryptocurrency exchange offering spot trading, custody, and staking. Directly comparable as the primary U.S. retail and institutional crypto venue FTX US competed with.
• Binance.US: U.S. arm of global exchange Binance, offering spot crypto trading to American customers. Direct head-to-head competitor for U.S. retail crypto volume.
• Kraken: U.S.-headquartered crypto exchange offering spot trading, staking, and derivatives. Comparable as a U.S.-regulated centralized exchange with similar product breadth.
• Gemini: U.S.-based, New York Trust-licensed crypto exchange and custodian founded by the Winklevoss twins. Comparable as a compliance-focused U.S. crypto venue.
• Crypto.com: Global crypto exchange and app with significant U.S. presence offering spot trading, derivatives, and an NFT marketplace. Comparable product mix including NFT platform.
• Bitstamp: Long-standing centralized crypto exchange serving U.S. institutional and retail clients. Comparable as an established, compliance-oriented spot exchange.
• Bakkt: U.S.-regulated digital asset platform offering crypto trading and custody with institutional focus. Comparable as a regulated U.S. crypto venue that emphasised compliance.
• Bitfinex: Global centralized crypto exchange offering spot and derivatives trading with a sophisticated trader base. Comparable in product depth, particularly via LedgerX-style derivatives offerings.

Broad incumbents

• Robinhood: U.S. retail brokerage offering crypto trading alongside equities. Comparable as a horizontal platform combining traditional securities and crypto trading, mirroring FTX US's FTX Stocks ambition.

Emerging players

• eToro: Multi-asset brokerage offering crypto alongside stocks. Comparable as a horizontal retail platform blending traditional and digital asset trading.

Market position

Strengths1 record

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights4 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Subsidiaries3 records

Funding overview

Funding rounds1 record

Investors12 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A2 records

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about FTX US