Friday, February 3, 2023
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HomeNewsBusinessMonths after Exchange Collapse, Ex-FTX US Head Elevates $5M

Months after Exchange Collapse, Ex-FTX US Head Elevates $5M

According to a Friday Bloomberg article, Brett Harrison, the former president of FTX.US, has secured $5 million for Architect, a new cryptocurrency firm that will create trading software geared for big investors and institutions.

Venture divisions of cryptocurrency exchange Coinbase (COIN) and stablecoin issuer Circle were among the investors. Centralized exchange FTX shut down in November as a result of a liquidity problem brought on by a CoinDesk report, which also caused investors’ confidence to waver and venture capital investments to halt.

According to Harrison, who left FTX.US in September after approximately a year on the job, Architect’s software will make both centralised and decentralised exchanges simpler for investors to use with the goal of assisting “people to get their confidence back in trading in this business.”

Harrison anticipates that Architect will be integrated into the platforms of investors Coinbase and Circle when the product launches in the second quarter.

Financial guru Anthony Scaramucci, a former White House aide to former U.S. President Donald Trump, as well as SALT Fund (run by his son, AJ Scaramucci), SV Angel, Third Kind Venture Capital, and Motivate Venture Capital were among the other investors in the investment round.

The Information reported in December that Harrison was seeking to fund $6 million at a $60 million valuation for Architect. On January 14, Harrison tweeted that Architect was having trouble raising money because of his prior affiliation with FTX. A few of the investors that took part, though, had personal connections to the defunct exchange. Prior to that, FTX invested in Circle’s $440 million funding round in 2021 and acquired a 30% share in Scaramucci’s hedge firm, SkyBridge Capital. Small equity shares were held by Circle and FTX in one another.

FTX and its founder Sam Bankman-Fried were criticised by Harrison in a recent Twitter exchange.

Harrison stated, “I was not a part of, nor were other executives at FTX.US, but it is evident from what has been made public that the scheme was held closely by Sam and his inner circle at and Alameda. “I now see why they took great effort to hide their criminal behaviour from us. We have significant professional networks, direct access to US regulators, and the right to talk with US media on our own.



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