FTX acquisition done: Canadian stock exchange Bitvo backs out of deal

Bitvo successfully reneged on its acquisition deal with FTX exchange thanks to the lengthy process of getting the deal approved by regulators premises.

Canadian cryptocurrency exchange Bitvo has terminated its planned acquisition agreement with FTX to continue operating independently.

Bitvo shareholder Pateno Payments has terminated the acquisition agreement with FTX Canada and FTX Trading in accordance with the terms of the agreement, Bitvo announced on November 15.

The company stressed that its operations were not affected as Bitvo has no material exposure to FTX or any of its affiliated entities. Bitvo's trading operations, including withdrawals and deposits, are intact.

Bitvo also emphasized that it was not a party to the bankruptcy proceedings initiated by FTX and its affiliated entities. Bitvo has also never owned, listed, or traded the FTX (FTT) token or “any similar token,” the announcement notes.

"Since its inception, Bitvo has operated as an independent Canadian crypto-asset exchange platform," the company said, adding that the platform does not offer lending or borrowing services :

"Bitvo operates on a full reserve basis, which means it does not lend funds to customers. Bitvo has always chosen to operate in this manner, and it is a requirement of Bitvo's regulatory status as a restricted dealer registered with the Canadian Securities Administrators [...]."

As previously reported by Cointelegraph, struggling cryptocurrency exchange FTX has reached a deal to buy Bitvo in June 2022 as part of the company's plans to expand into Canada. But the plan went awry as FTX became the subject of a massive industry scandal, with the exchange diverting user funds to trade on its sister company Alameda.

On November 14, B...