FTX Close to Buying BlockFi for Just $25M

Crypto exchange FTX is close to signing a deal to purchase struggling crypto lender BlockFi for $25 million, according to a person familiar with the matter. The news was first reported by CNBC.

• The deal is expected to be signed by the end of the week, the person familiar with the matter told CoinDesk.
• In response to the reports, BlockFi CEO Zac Prince tweeted this afternoon that "I can 100% confirm that we aren't being sold for $25M. I encourage everyone to trust only details that you hear directly from @BlockFi. We will share more [with] you as soon as we can."
• Earlier this month, BlockFi was reportedly set to close a down round of funding at a valuation of $1 billion, compared to its previous valuation of $3 billion in March of last year.
• FTX had previously given a $250 million credit facility to BlockFi. The lender said in mid-June it was cutting about 20% of its workforce, or roughly 170 people.

UPDATE (June 30, 18:16 UTC): Removes "report" from headline and adds information in first paragraph.

UPDATE (June 30, 19:03 UTC): Adds Zac Prince tweet in second bullet point.