Written By According to sources close to the matter, Tribe Capital is in talks with AFTX’s management team to discuss potential terms of the deal. While it is still unclear what exactly the deal would entail, it is speculated that Tribe Capital is exploring the possibility of acquiring the exchange’s technology and intellectual property to launch a new and improved exchange platform.
The AFTX crypto exchange, which was originally based in Hong Kong, had been a popular choice among traders due to its advanced trading features and low transaction fees. However, the exchange ran into regulatory issues with the Securities and Futures Commission of Hong Kong in 2020 and was forced to halt operations. Despite several attempts to restart, the exchange has yet to be granted permission to resume operations.
This is where Tribe Capital sees an opportunity. The venture capital firm has a track record of investing in successful startups and disruptive technologies, including cryptocurrency-related companies. In 2018, Tribe Capital led a $20 million funding round for the crypto wallet provider, BRD.
Tribe Capital’s interest in AFTX also comes at a time when the cryptocurrency market is booming. Bitcoin and other cryptocurrencies have been hitting record highs, with more and more institutional investors and companies getting involved in the market. This has led to an increased demand for reliable and secure cryptocurrency exchanges.
However, with the rise in demand comes increased scrutiny from regulators. Many exchanges have faced regulatory hurdles and have had to adapt to changing regulations in different countries. By acquiring AFTX’s technology and intellectual property, Tribe Capital may be able to create a new exchange platform that is better equipped to navigate these regulatory challenges.
It is worth noting that Tribe Capital is not the only party interested in AFTX’s restart plan. Other investors and companies have also expressed interest in acquiring the exchange’s assets. However, Tribe Capital’s reputation in the industry and its experience with cryptocurrency-related startups could give it an edge over its competitors.
In conclusion, the potential bid by Tribe Capital for the AFTX crypto exchange restart plan is a promising development for the cryptocurrency industry. If successful, the acquisition could lead to the creation of a new and improved exchange platform that addresses some of the challenges faced by existing exchanges. However, it remains to be seen whether Tribe Capital will be able to secure a deal with AFTX’s management team and ultimately bring its vision to fruition.
