Cryptocurrency trading firm Amber Group, which had around 10% of its trading capital tied up in FTX at the time of the exchange’s collapse, reportedly acquired cryptocurrency platform, Sparrow Holdings according to a Dec. 14 announcement.
Singaporean crypto platform Sparrow Holdings, which offers digital asset products and solutions, acquired its payment license from the Monetary Authority of Singapore in August, to provide digital payment token (DPT) services to Singapore, under the Payment Services Act (PSA).
Founded in 2018, Sparrow works with financial institutions and family offices to design bespoke digital asset solutions to achieve customer-centric growth objectives, while maintaining compliance requirements.
News of Sparrow Holdings’ acquisition by Amber Group comes at a sensitive time for the company.
On November 25, Cointelegraph reported that Tiantian Kullander, co-founder of Amber Groupalso known as “TT”, died unexpectedly in his sleep on November 23, aged 30.
News of the co-founder’s death was followed shortly by a report that Amber Group had suspended its expansion plans following the collapse of FTX, and its cascading effects on the market.
According to managing partner Annabelle Huang, Amber was also forced to deprioritize her new metaverse project due to the FTX contagion.
The company also reportedly downsized and laid off up to 40% of its staff in September, with further layoffs in December.