{"id":68409,"date":"2024-01-05T18:22:10","date_gmt":"2024-01-05T22:22:10","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=68409"},"modified":"2024-01-05T18:23:23","modified_gmt":"2024-01-05T22:23:23","slug":"banking-app-dave-to-buy-back-100m-stake-from-ftx","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/banking-app-dave-to-buy-back-100m-stake-from-ftx\/","title":{"rendered":"Banking App Dave to Buy Back $100M Stake From FTX"},"content":{"rendered":"\n

Neobank Dave has agreed to pay FTX liquidators<\/a> $71 million in exchange for a convertible promissory note for $100 million that FTX Ventures has provided. <\/p>\n\n\n\n

\"Banking
Banking App Dave to Buy Back $100M Stake From FTX<\/figcaption><\/figure>\n\n\n\n

This note was first issued by FTX Ventures, a venture capital entity associated with the now-defunct exchange FTX<\/a>. As per the revised agreement, Dave is going to secure the debt for $71 million, which is a significant discount. <\/p>\n\n\n\n

The consent of a bankruptcy court is necessary for this deal to be completed, and a crucial hearing is scheduled for January 25. This comes after Dave and FTX Ventures signed a strategic alliance in March 2022. <\/p>\n\n\n\n

Initially, the partnership included joint ambitions to develop cryptocurrency-related offerings and an investment of $100 million from FTX Ventures in Dave through the aforementioned note. <\/p>\n\n\n\n

\n

Dave Announces Repurchase of $100 million Convertible Note from FTX for $71 million

FTX Debtors filed a motion to approve the sale pic.twitter.com\/McK608rCQH\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a><\/p>— Sunil (FTX Creditor Champion) (@sunil_trades) January 5, 2024<\/use><\/svg><\/span><\/a><\/blockquote>

Since its founding in 2016, Dave has collected more than $500 million in capital, with well-known businessman Mark Cuban <\/use><\/svg><\/span><\/a>contributing a $3 million startup investment. <\/p>\n\n\n\n

The business, which went public in January 2022, provides financial services, including checking accounts, without the need for actual bank branches by adopting the strategy of challenger banks.<\/p>\n\n\n\n

Following FTX's demise in November 2022, its creditors have aggressively pursued court orders to liquidate the company's assets to pay back debts. Courts have approved these efforts multiple times, enabling the sale of different investments.<\/p>\n\n\n\n

These consist of LedgerX's divestment, the sale of trust assets for about $873 million, the liquidation of digital assets believed to be worth $3.4 billion, and a settlement settling FTX and Genesis' legal issues<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Neobank Dave has agreed to pay FTX liquidators $71 million in exchange for a convertible promissory note for $100 million that FTX Ventures has provided. This note was first issued by FTX Ventures, a venture capital entity associated with the now-defunct exchange FTX. As per the revised agreement, Dave is going to secure the debt […]<\/p>\n","protected":false},"author":43,"featured_media":68411,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[1499,17782,778],"class_list":["post-68409","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-banking-app","tag-dave","tag-ftx"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/01\/croc_1704489988458.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/68409","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/43"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=68409"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/68409\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/68411"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=68409"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=68409"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=68409"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}