Former FTX and Alameda Veterans Forge New Path With $17M Investment in Backpack Crypto Exchange

Former FTX and Alameda Research employees have pooled together a remarkable $17 million investment for their latest venture, a crypto exchange named Backpack.

The funding, secured through a series A funding round, has pushed Backpack's valuation to $120 million and attracted capital from prominent firms such as Wintermute and Amber Group.

Backpack, which was launched in October last year, represents a new chapter for these former FTX and Alameda alums. Co-founded by Armani Ferrante and Can Sun, with Ferrante serving as CEO, the exchange has swiftly gained traction in the industry.

Notably, Sun, who previously served as FTX's general counsel, testified as a government witness in Sam Bankman-Fried's fraud case, shedding light on his unawareness of the firm's illicit use of customer funds.

Despite initial hesitations from investors, Ferrante acknowledges that the scrutiny surrounding crypto exchanges, particularly in the aftermath of FTX's troubles, has posed challenges. However, with a conviction in a New York courthouse last year, investor sentiment has gradually shifted in Backpack's favor.