Based on the joint statements on Twitter this week from Binance CEO Changpeng “CZ” Zhao and FTX CEO Sam “SBF” Bankman-Fried, it seems clear that FTX has serious solvency problems — so dire that few in the market are willing to save it.
After CZ exposed FTX’s problems earlier in the week by announcing his plan to dump $500 million of its FTX Token (FTT) on the market, the companies said on Nov. 8 that they had entered into a nonbinding agreement for Binance to purchase FTX.
It will be hard to contest Binance’s leading status, and it’s likely that many small exchanges will fail due to the difficulty of gaining users’ trust.
Cryptocurrency will have more guardrails: The industry will bid farewell to the era of barbaric unregulated growth, and asset management institutions in the industry will generally implement a set of strict risk control systems and complete audits to keep their companies running under a healthy, transparent, open balance sheet.
She graduated from the National University of Singapore and is pursuing an MBA at the Massachusetts Institute of Technology.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice.
Source: Cointelegraph
#Binance