# GTX Financial Model Cross-asset trading marketplace for crypto bankruptcy claims, crypto spot/futures, and eventually stocks. - Canonical: https://finamodel.com/startups/gtx - Excel download: https://finamodel.com/startup-models/gtx.xlsx - Category: Crypto/Web3 - Model type: SaaS ARR / Valuation - Funding round: Seed - Funding: $25M - Founded: 2023 - Geography: Global (no specific geography stated); FTX depositors are a global base. - Customer: B2C ## About the company GTX proposed a cross-asset marketplace for crypto bankruptcy claims, crypto spot and futures trading, and eventually equities. Its near-term opportunity was distressed claims from failed crypto platforms, combined with a liquid exchange proposition designed to bring those claim holders and digital-asset traders to one venue. The company was raising a $25 million seed round and cited a global base of potential FTX depositors, but had no operating history in the deck. Claims trading differs materially from conventional exchange flow: inventory is episodic, pricing depends on recovery expectations, and compliance and settlement processes are more involved. Model bankruptcy-claim listings, average claim value, match rate, and transaction take rate separately from spot and futures volume. Add liquidity-provider incentives, compliance, legal and settlement operations, market making, and technology costs. Recovery assumptions, claims supply, trading adoption, take rate, and liquidity depth should be the main scenario variables. ## What's included - 5-year monthly revenue build with stage-appropriate growth assumptions - Full P&L, headcount plan, and operating-expense schedule - Cash-flow statement, runway, and burn-rate tracking - Valuation via exit multiple with a DCF cross-check - Returns analysis with MOIC and IRR - Unit economics including CAC, LTV, payback, and cohort retention ## Product & value proposition - GTX is a public orderbook marketplace for trading crypto bankruptcy claims (initially FTX, Celsius, BlockFi, Mt. Gox). - Creditors can hold claims to maturity or sell them immediately; claims can also be used as margin collateral for crypto trading. - Phase 2: full crypto spot and futures exchange filling the vacuum left by FTX collapse. - Phase 3: regulated securities lending / stocks platform targeting the $2 trillion securities lending market. - Technology: 60+ developers, 10 years of exchange operating experience; cross-collateral margining, risk/matching engine, REST/WebSocket/FIX API, clearinghouse integration. - Equity incentive: claim holders who trade on GTX receive pro-rata equity in the new exchange based on claim size. ## Market - Crypto claims TAM: $20 billion estimated notional value of crypto claims. - Over 1 million depositors on FTX alone caught in bankruptcy proceedings. - FTX claims trading at ~10% of face value on existing platforms. - Crypto exchange market: referenced as "power vacuum left by FTX" - no explicit TAM figure given. - Securities lending market (Phase 3): $2 trillion. ## Revenue model - Transaction fees on claims trading: 0.25%–0.50% per trade; dramatically lower than XClaims (5–10%) and Claims-Market (varies). - Implied crypto exchange fee revenue (Phase 2): standard maker/taker model assumed but not stated - Not in deck. - Lending / margin revenue (claims as collateral): implied but not quantified - Not in deck. - No subscription, SaaS, or listing fee model mentioned. ## Traction & metrics - No live traction - company is pre-launch as of January 2023. - Target launch: end of February 2023. - Claims domination target: within 2–3 months of go-live. - No revenue, user count, or volume figures disclosed. ## Competition / moat - Named competitors (claims market): XClaims (fees 5–10%), Claims-Market (fees vary). - GTX differentiators vs. both: orderbook-based marketplace, use of claims as collateral for trading, streamlined onboarding - features neither competitor offers. - Broader crypto exchange moat: experienced team (60+ devs, 10 years ops), tech stack already built via CoinFLEX. - Regulatory angle: "no regulatory debt unlike other exchanges" positioned as advantage for expanding into regulated markets. ## Team & funding ask / use of funds **Founders:** - Kyle Davies - Co-founder of Three Arrows Capital (3AC) 2012–2022; grew from $1.2M to $4B+ AUM; 40x FX, 80x crypto returns before 3AC insolvency. - Su Zhu - Co-founder of Three Arrows Capital (same bio as Kyle Davies). - Mark Lamb - Co-founder of CoinFLEX (2019–present); previously Coinfloor (first UK bitcoin exchange, 2013); built exchange to $300M valuation with billions in daily volume. - Sudhu Arumugam - Co-founder of CoinFLEX. **Executive Team:** - Kent Deng - CTO; ex-Oracle; manages teams from Alibaba, Tencent, Oracle, Huawei. - Leslie Lamb - CMO; Crypto Unstacked Podcast (top 10% globally); ex-Amber Group institutional sales; ex-Brown Brothers Harriman private banking. - Ewelina Mielecka - CDO; 10 years crypto custody and settlement. **Funding ask:** $25M seed round. **Use of funds:** - Complete legal setup and tech stack. - Streamline FTX and other bankruptcy claims onboarding and primary marketplace. - Establish marketing strategy for scalable growth. - Build one-stop shop for crypto and stock trading. --- ## Recommended financial model **Archetype + why:** Marketplace GMV / transaction-fee revenue model, phased by product line: - Phase 1 (Claims): volume × take rate (0.25%–0.50%) on notional claims traded. - Phase 2 (Crypto exchange): maker/taker fee model on spot/futures volume - standard crypto exchange P&L. - Phase 3 (Stocks/securities lending): regulated securities lending spread model (further out; minimal weight in near-term model). Primary output should be a fee-revenue waterfall from each phase, rolling into a combined P&L. **Forecast horizon & granularity:** - 3 years (2023–2025), monthly for Year 1 (critical - claims market is time-limited), quarterly thereafter. **Key drivers & assumptions:** *Claims Phase (Year 1):* - Total addressable claims notional: $20B - but this is the outer bound; FTX alone is the main initial listing. - Market penetration (% of claims notional that trades through GTX): 5% in Y1, 15% Y2 - rationale: XClaims processes a small fraction; GTX enters with strong fee advantage but is unproven. - Average fee rate: 0.375% (midpoint of 0.25%–0.50%). - Velocity: average claim may trade 1–2x over the life of the bankruptcy - claims market has a finite shelf life as proceedings resolve. - Implicit face-value discount: claims trade at ~10% of face value - so "real" volume is 10% of notional; model should use notional (fee charged on stated claim value) or traded price - need clarification. *Crypto Exchange Phase (Year 1–2):* - Daily trading volume: $50M–$200M in Y1 ramp - rationale: CoinFLEX previously saw "billions in daily volume"; post-FTX vacuum is real but trust/liquidity is hard to rebuild. - Blended fee rate: 0.05%–0.10% maker/taker (industry standard for mid-tier exchange). - Monthly active traders: driven by claims user base converting to crypto trading (key flywheel assumption). *Operating Costs:* - Engineering headcount: 60+ developers implied; burn rate ~$500K–$1M/month at seed stage. - Legal/compliance: material given bankruptcy onboarding complexity - $1M–$2M Y1. - Marketing: modest initially; community-driven via claim holder equity incentive. - Seed capital runway: $25M; 18–24 months at projected burn. **Scenarios (Base / Bull / Bear - which variables flex):** - **Base:** 10% claims penetration Y1; crypto vol ramp to $100M/day by end Y1. - **Bull:** Claims market captures 25% of notional; crypto vol $300M/day by Y2 (FTX vacuum captured); securities lending pilot live Y2. - **Bear:** Claims market is tiny (legal friction, slow onboarding); crypto exchange struggles to attract liquidity; burn exceeds $25M before breakeven. - Key flex variables: claims penetration rate, crypto exchange daily volume, regulatory delays, 3AC founder reputational risk. **Required sheets / outputs:** 1. Assumptions - all drivers in one place, colour-coded vs.. 2. Claims Revenue - notional × penetration rate × fee bps, monthly Y1. 3. Crypto Exchange Revenue - daily vol × trading days × blended fee rate. 4. (Optional) Securities Lending Revenue - placeholder only, Y3+. 5. OpEx - headcount, legal, infra, marketing, G&A. 6. P&L - revenue by segment, gross profit, EBITDA, net income. 7. Cash & Runway - starting $25M, monthly burn, months-to-zero. 8. Scenario toggle - Base/Bull/Bear switcher on Assumptions sheet. ## Frequently asked questions ### Is the GTX financial model free? Yes. The GTX model is a free Excel download with live formulas. ### Can I change the assumptions? Yes. The workbook is editable and its live formulas recalculate when assumptions change.