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What did MystenLabs' 123 pages of court documents with FTX debtors reveal about SUI?

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Recently, according to the relevant court documents disclosed that Mysten Labs entered into an agreement with FTX debtors on March 22 to repurchase FTX's equity investment in Mysten Labs and SUI token warrants for $96.3 million in cash.

Original Title: MystenLabs' 123 Pages of Court Documents with FTX Debtors, What Do They Reveal about SUI?

Sui World

Recently, according to relevant court documents, Mysten Labs reached an agreement with FTX debtors on March 22 to repurchase FTX's equity investment in Mysten Labs and SUI Token warrants for $96.3 million in cash. The 123-page document details FTX's investment in Mysten Labs in August 2022. Combined with the court documents and a series of recent actions of Sui, Sui World made some summaries and analyses:

1. Mysten Labs About $2 billion valuation

完成超 3 亿美元的 B 轮融资这个融资信息是去年的公开消息了。FTX 及 B 轮投资者们通过投资 Mysten Labs 的 B 轮优先股权，获得了 Sui Token 的 Token 权证。

2. FTX received approximately 890 million Sui tokens for approximately $102 million

FTX 在 Mysten Labs 的 B 轮融中总共投资了 1.02 亿美元，获得了约 57 万股优先股，和获得约 8.9 亿枚 Sui Token 的 Token 认购权证。作为领投方的 FTX 投资 Sui Token 的平均成本是非常低的，约 0.114 美元。

FTX 这里有两笔获得 SUI Token 权证非常重要：Cottonwood Grove Limited（Alameda）和 FTX Trading 分别以 500 美元的价格获得了约 1.73 亿和 3.46 亿枚共计 5.19 亿枚 Sui Token 的 Token 权证。

These 5.19 Sui tokens met certain conditions after the main NetWork of Sui NetWork went online and Sui Token was started, and they would be used to make market trading on FTX platform. (Note: Cottonwood Grove Limited is a wholly owned holding company of Alameda Research.) As a former head trading platform and market maker, FTX led Sui to invest more than $100 million, which was an important condition.It was Alameda and FTX Trading, its market makers, that got 519 million Sui tokens for almost free to make markets on FTX.com. But with FTX collapsing before the Sui could set in, this Token The warrant agreement is gone.

3. The cost of Sui Token chips for some Series B investors is about $0.28-0.31

抛开 FTX 的做市筹码部分，其他部分 B 轮投资者获得 Sui Token Token 权证的成本仍然可以参考 FTX Ventures，平均成本约在 0.28-0.31 美元之间。

4. Sui will recoup a lot of its low-cost institutional leverage

In addition to the c. Between $0.28 and $0.31 for Sui Token investment chips, forFor lead investor FTX, it also gained an additional 519 million Sui tokens of market-making chips.Mysten Labs now repurchased FTX's equity investment in Mysten Labs and SUI for $96.3 million in cash Token Warrants, meaning the withdrawal of a lot of FTX's low-cost investment chips and market-making chips. Good for future online Sui tokens.

It is worth mentioning that FTX also led the investment in Aptos, another Move chain, with similar valuation and investment amount. The investment plan of FTX for Aptos may be very similar to Sui, that is, FTX held a large amount (more than the amount in circulation 1/3) low-cost investment chips and market-making chips. This means that some of Aptos, which came online before FTX collapsed, have already entered the market, and the remaining chips are waiting for a resolution from FTX creditors.

5. FTX debtors can continue to "seek higher offers from other third parties"

文件还披露，目前 FTX 债务人可以继续「向其它第三方寻求更高的报价」，直到法院最终确定出售日期。Mysten Labs 的股权投资和 Sui Token 权证对于不少机构来说还是有吸引力的。

6. The biggest external obstacle for the launching of SUI main net was removed

After processing with FTX The problem of debtors dealt with one of the biggest external obstacles to the launching of SUI main network. The launching of SUI main network and the release of Sui Token did not need to consider the processing of FTX's previous investment chips.

7. $96.3 million corresponds to a $100 million fund

The $96.3 million cash buyback, once completed, will have no short-term financial impact on Mysten Labs, which raised more than $300 million last year. The long-term impact may lie mainly in Mysten Labs' layout of Web3, such as investing in and acquiring Web3 projects.

This also corresponds to the previous news that Mysten Labs CEO Evan Cheng is looking to raise over $100 million for a Web3 fund that will not be limited to Eco Sui. Hashed co-founder Alex Shin and veteran hedge fund investor Sandeep Ramesh will join the newly created Web3 venture fund as general partners.