Backpack

The company faced a significant setback with the collapse of FTX in November 2022, losing approximately 88% of its operating funds. In a strategic pivot during the ensuing crypto bear market, Backpack launched the Mad Lads NFT collection in April 2023. This collection of 10,000 unique digital items on the Solana blockchain quickly gained traction, topping NFT charts and becoming a cultural pillar for the brand. The revenue generated from the Mad Lads launch provided crucial capital for the company's continued operations.

The business generates revenue through trading fees on its exchange platform. The Backpack Exchange, which launched in beta in November 2023, is a regulated entity, holding a Virtual Asset Service Provider (VASP) license from Dubai's Virtual Asset Regulatory Authority (VARA). The exchange offers spot trading, and as of early 2025, a public beta for futures trading. The platform aims to serve a global client base, with users in over 150 countries. A key feature is its focus on transparency, utilizing cryptographic techniques like zero-knowledge proof of reserves (zk-proofs) and Multi-Party Computation (MPC) for custody. The Backpack Wallet is a multi-chain, self-custodial wallet supporting blockchains like Solana and Ethereum. Its distinctive feature is the support for xNFTs, which are essentially NFTs containing executable code, allowing applications to run directly within the wallet. This creates a more integrated user experience, as all assets and decentralized applications can be accessed in one place.