Liquid Group announced it has secured $120 million in debt financing from the FTX exchange after suffering a $90 million hack last week. According to an announcement published on 26 August, the new funds will help Liquid improve its balance sheet and expand its licensing opportunities in Japan and Singapore.
“The new funds come at an important point in Liquid’s development and will strengthen its capital position, thereby accelerating new capital generation projects and providing critical liquidity, which underpins its commitment to premier customer support and regional leadership in the blockchain industry,” the company said in the announcement.
Sam Bankman-Fried, the Founder and CEO of FTX Trading, said that FTX’s culture of building desirable products, combined with the sense of urgency following Liquid’s recent hack, will add to the innovative opportunities that the collaboration offers.
The financing comes after liquid suffered an attack that saw around $90 million worth of tokens moved off the platform. In an announcement published on 19 August, Liquid said that only its hot wallets were affected and it was moving all of its assets into cold storage. This was the second time the exchange suffered a security breach in the past 12 months—in November 2020, Liquid warned that an intruder gained access to its data, but assured users that all funds were safe.