coinpedia 2025-05-06 11:41:16

FTX Liquidators Dumped a $500M Stake in AI Startup Cursor – Now It’s Worth Billions

The post FTX Liquidators Dumped a $500M Stake in AI Startup Cursor – Now It’s Worth Billions appeared first on Coinpedia Fintech News Crypto never sleeps, and neither do its billion-dollar blunders. According to FT , AI code editor Cursor just closed a jaw-dropping $900 million funding round at a $9 billion valuation. According to FT, AI code editor Cursor has completed $900 million in financing, with a valuation of $9 billion. Alameda invested $200k in its seed round in 2022, but was sold by FTX liquidators for $200k. The stake may currently be worth around $500 million.… pic.twitter.com/sf53q1FvxR — Wu Blockchain (@WuBlockchain) May 6, 2025 But while top VCs like Thrive Capital, a16z, and Accel are celebrating, there’s one name glaringly missing from the winners’ circle: FTX. Here’s why. From $200K to $500M: What Went Wrong? Back in 2022, Alameda Research – FTX’s sister trading firm – quietly invested $200,000 into Cursor’s seed round. Fast forward to today, and that stake could be worth an estimated $500 million . Unfortunately for FTX creditors, the platform’s liquidators sold it off for the exact amount it was purchased at: $200,000. No markup.Just a clean exit… from half a billion dollars in potential recovery. Ouch, right? Cursor’s Impressive Rise Cursor, built by Anysphere Inc., is trying to redefine how developers write code. With a sleek split-screen interface and AI-powered chatbot, Cursor allows users to automate complex coding tasks using simple natural language prompts. It analyzes, breaks down tasks, fetches context from documentation, and applies real-time changes. Its engine runs on models from OpenAI and Google, along with its own internal model, Cursor-Fast. And with over $200 million in annual recurring revenue, the momentum is great. FTX’s Loss, Big Tech’s Gain? This funding round wasn’t too hush-hush. Thrive Capital led the $900M investment, the same firm that backed OpenAI’s $6.6B round last year. The buzz? OpenAI reportedly tried – and failed – to acquire Anysphere earlier this year. They’re now eyeing Windsurf (Exafunction Inc.) for up to $3 billion instead. If we’re being real… This seems like a major loss for FTX. Is there more than meets the eye? Guess we’ll know with time.