Pantera Capital Targets Discounted Solana Tokens from FTX

Pantera Capital endeavors to purchase discounted Solana (SOL) tokens from the defunct cryptocurrency exchange FTX’s estate by raising funds.

In order to purchase discounted Solana (SOL) tokens from the estate of the defunct cryptocurrency exchange FTX, Pantera Capital, an asset management firm, is soliciting capital from large investors. Pantera Solana Fund, a “opportunity” to acquire up to $250 million worth of SOL tokens from the FTX estate, is now seeking funds from investors.

A minimum investment of $25 million per investor is necessary to acquire the option to buy SOL at a 39% discount, or $59.95, below the 30-day average price. This comprises locking SOL tokens initially and then gradually vesting them over four years.

A management fee of 0.75 percent and a performance cut of 10 percent were also detailed by Pantera Capital.

To avoid a sudden drop in the token’s value and to allow creditors to recoup some of their losses, Pantera Capital has proposed a plan that would allow the FTX liquidators to sell Solana in stages. Almost 10% of all SOL coins, or 41.1 million coins, are in the possession of the estate at this time; their value is $5.4 billion.

By the end of February, the fund closure was supposed to be complete. Menlo Park Capital, a worldwide venture capital firm, was able to secure one or more investments by the due date.

Why the Solana Ecosystem Is Important to FTX

Solana, which aims to compete with Ethereum and enable a variety of applications focused on cryptocurrencies, is set to launch in 2020. Monthly active addresses have been steadily rising over 20 million for the past three months, indicating a return to the network’s previous level of activity after the bankruptcy of FTX.

As the cryptocurrency industry as a whole has grown over the past year, the value of SOL has risen by an impressive 650%. Since FTX’s collapse in 2022, the token price has roughly quadrupled, providing the FTX estate with an opportunity to collect revenue for creditor payback.

In addition to owning a large amount of SOL tokens, FTX and its sister business, Alameda Research, have invested heavily in startups that are part of Solana’s larger ecosystem. Lightspeed Venture Partners and FTX’s Solana Ventures unveiled a $100 million blockchain gaming fund in 2021, demonstrating their dedication to bolstering Solana ecosystem initiatives.

In an effort to liquidate assets and compensate customers who had trouble accessing their accounts following the collapse of the company in 2022, FTX is selling off a large chunk of its prior investments.

The US Bankruptcy Court recently gave FTX the go light to sell its stake in the artificial intelligence business Anthropic. Back in 2021, FTX put $500 million into Anthropic and kept a 7.84% ownership in the business. “We are selling the Anthropic shares, as we are selling everything, and putting the money in the bank,” stated Andy Dietderich, an attorney for FTX.

In light of the expanding cryptocurrency market and FTX’s planned liquidation activities, Pantera Capital is acquiring discounted Solana tokens from FTX’s estate. This transaction exemplifies how asset management is changing.