Star Atlas CEO says Company Maintains Commitment Despite Collapse of FTX
FTX collapse has shrunk a significant amount of Star Atlas liquidity, but the company is looking towards alternative funding options.
Star Atlas Remains Strong Despite FTX Collapse
A part of the statement reads,
“Following the news of potential insolvency at FTX, and immediately upon return from breakpoint, we rapidly mobilized an internal strike team to explore options for mid-term cash requirements. As of today, we maintain a strong balance sheet, with significant optionality in front of us, though a portion of most of our immediately liquid cash were impacted. While previously we had multiple years of runway given current operations ahead of us, that has presently been reduced by approximately one half.”
ATMTA’s Town Hall Meeting Discussions
After this announcement, Star Atlas’s parent company, ATMTA, called for a community town hall meeting. Present at the meeting were about 500 members. The CEO stated that the company’s resolve remains strong as the situation has been discussed internally, and the passion for the project has not dropped.
“This week has been an emotional rollercoaster. We had a fantastic time at Breakpoint establishing partnerships and demonstrating the caliber of talent we have and amazing product. We proved to the world what is possible and what we’re capable of.”
However, the events surrounding FTX’s demise in the past week have significantly reduced the positive high, which was Solana Breakpoint. As a result, Star Atlas shed a high portion of its liquidity.
The team at Star Atlas is looking at internal restructuring and other options to raise capital. This includes potential discussions with capital funding partners, some of which are highly committed individuals within Star Atlas. Wagner also took some questions from the audience before the meeting ended.