BlockFi $400 million revolving loan facility and FTX option to acquire BlockFi
We advised BlockFi on the transactions
Davis Polk advised BlockFi, Inc. as borrower under a $400 million loan facility provided by West Realm Shires Inc, an affiliate of FTX-US. Davis Polk also advised BlockFi, Inc. in connection with an option for FTX-US to acquire BlockFi at a variable price of up to $240 million based on performance triggers.
Founded in 2017 by Zac Prince and Flori Marquez, BlockFi is a cryptocurrency exchange and platform that serves individuals and businesses worldwide, including by providing USD loans to crypto-asset owners who collateralize the loan with their crypto-assets.
FTX is a leading cryptocurrency exchange specializing in derivatives and leveraged products. Founded in 2018 by Sam Bankman-Fried, FTX offers a range of trading products, including derivatives, options, volatility products and leveraged tokens.
The Davis Polk corporate team included partner Michael Davis and associates Brian Lee and Malik M. Khalil. The finance team included partners Meyer C. Dworkin and Christopher Nairn-Kim, counsel Erika D. White and associate Matthew Vallade. Partners Lucy W. Farr and Corey M. Goodman and associate Yixuan Long provided tax advice. All members of the Davis Polk team are based in the New York office.