In a bold move amidst the tightening global crypto regulations, Backpack Exchange, a crypto platform founded by former FTX executives, is expanding its reach to 11 US states. This expansion includes states like California, Colorado, Indiana, Missouri, and Wyoming.
CEO’s Vision
CEO Armani Ferrante, in a recent announcement on the social media platform X, expressed the company’s commitment to establishing a strong presence in the US. He emphasized the careful and steady approach the company would take in this endeavor, acknowledging the challenges ahead. Ferrante stated, “If we don’t support your state yet, hold on. We’ll get there. This is something that will take years to complete. But we’re committed to doing it right.”
Backpack Exchange, currently in its beta phase, offers spot trading activities and plans to expand into derivatives and margin trading. One of the distinctive features of the platform is its focus on non-custodial-based trading, setting it apart from traditional crypto exchanges. With a reported daily trading volume of $1 billion on Feb. 18, Backpack Exchange is making a significant impact in the crypto market.
The platform was co-founded by Can Sun, former general counsel at FTX, and Armani Ferrante, who previously worked as a software developer at Alameda Research. Sun played a crucial role as a witness in Sam Bankman-Fried’s trial, revealing important information about the misuse of customers’ funds. Ferrante’s other venture, Coral, faced a significant loss of $14.5 million following FTX’s collapse. Despite these challenges, the team behind Backpack Exchange remains resilient and determined.
Backpack Exchange holds multiple licenses across global jurisdictions, including the UAE, Lithuania, Australia, and the US. In the US, the platform is registered as a Money Services Business (MSB) in numerous states. Moreover, it is duly registered with AUSTRAC in Australia as a Digital Currency Exchange (DCE) provider. In the UAE, Backpack Exchange has accreditation from the Dubai Virtual Assets Regulatory Authority (VARA) as a Virtual Asset Service Provider (VASP). Additionally, it is registered as a Virtual Currency Exchange Operator and Deposit Virtual Currency Monetary Operator with the Lithuanian Financial Crime Investigation Service (FCIS).
The expansion of Backpack Exchange into the US marks a significant milestone in the company’s growth trajectory. With a strong commitment to compliance and a focus on innovative trading features, Backpack Exchange is poised to become a key player in the evolving crypto landscape.
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