Over the past two days, the cost of the FTT cryptocurrency token (FTX Token) has collapsed almost tenfold, follows from the data on the portal CoinMarketCap. On November 8 at 19:15, this asset was trading at $19.33, by 22:45 on the same day, the rate fell to $4.03.
Now the cryptocurrency exchange rate is $2.77, while back in early November, FTX Token was trading at $24-25.
Big Picture. FTT is the native cryptocurrency of the large FTX exchange, in early November its capitalization exceeded $3 billion. The token was among the 30 largest cryptocurrencies in terms of capitalization.
Why is it important. In one day from November 8 to 9, cryptocurrency traders lost over $ 717 million, according to “RBC-Cryptowith reference to CoinGlass. Margin positions closed 329 thousand investors, 71% of traders opened them in anticipation of an increase in the cost of FTT. Followed by FTT fell and bitcoin: the cost of the most famous cryptocurrency decreased from 20 to 15.7 thousand dollars. On the afternoon of November 10, the bitcoin rate is 16.5 thousand dollars.
What happened. The decrease in the cost of FTT began after the statements of the head of the largest exchange Binance, Changpeng Zhao. First he informedthat the exchange intends to sell all available FTT tokens, and then declared about the possible purchase of FTX. According to Zhao, FTX representatives themselves turned to Binance for help due to the liquidity crisis.
On the afternoon of November 10, Binance CEO wrote on Twitter that the exchange will not buy FTX due to the financial problems of this exchange and the alleged investigations by the US authorities. According to Reutersthe head of FTX, Sam Bankman-Fried, transferred funds from the funds of the cryptocurrency exchange to his other company.
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