In the wake of FTX’s collapse, one asset stands out amidst the chaos: its extensive client base. The bankrupt crypto exchange’s customer list holds significant value, according to court documents released recently.
While some argue for its public release, Kevin Cofsky, a partner at investment bank Perella Weinberg Partners, emphasizes the confidentiality of the customer list, citing its extraordinary value.
Perella Weinberg Partners, entrusted with exploring restructuring and capital market opportunities for FTX Group, recognizes the immense value of the exchange’s customer base.
Cofsky affirms the extraordinary value of the existing customer list, emphasizing its importance for potential buyers and investors.
Through research and analysis of costs incurred by other crypto companies in acquiring customers, Perella Weinberg Partners concludes that preserving the confidentiality of the customer list is crucial.
Cofsky reveals that the bank has engaged in discussions with various third parties regarding the acquisition, investment, or reorganization of the FTX exchange.
Based on these conversations, it becomes evident that the customer list holds substantial value for prospective buyers and investors.
Its release could potentially compromise the recovery of value for creditors and hinder the maximization of FTX’s existing assets.
Preserving the confidentiality of the customer list is essential for maximizing the value that FTX currently possesses. Cofsky argues that releasing this information would impair the debtor’s ability to recover its full potential.
Additionally, the existing customers themselves hold significant value. If the exchange undergoes reorganization and creditors become partial owners, their incentive to trade on the platform would increase since their fees would contribute to a business they partially own.