Cryptocurrency markets suffered huge losses on Thursday, with bitcoin Pinned near a year low as investors worry about the fallout from the implosion of FTX cipher exchange.
Biggest rival Binance withdrew from the rescue deal on Wednesday. FTX head Sam Bankman-Fried said he “explores every options”But hopes are fading for rescue left FTX swing. message on FTX website He said: “FTX is currently Unable to process withdrawals. Strongly recommend against deposit”.
concentration on The unknown size of Customer losses and hit to feelings from latest And perhaps the biggest collapse in Industry turned into a minefield for investors.
FTX’s native tokenFTT is down 90% this week and has been trying to hold around $2 – not much higher than him record a little of About $1.50. Bitcoin down below $16000 for The first The time since late 2020 was overnight and it was last Priced at $16,435.
Binance Support out of Non-binding offer to buy FTX after due diligence. Another exchange, OKX, said it was also Bankman-Fried called her this week, who Described opponents of $7 billion needed fast coverage.
Even Elon Musk wouldn’t be able to commit to agree with $7 billion commitment in just a few hours of Negotiation. That was a lot for usLennix Lai, director of financial Markets in OKX for Reuters.
“(that it big Plug hole ‘is added. “The dagger will continue to hang. over encryption marketas long as the look of FTX Fate remains unclear.”
The Wall Street Journal reported that Bankman-Fried told investors that FTX needed $8 billion to cover withdrawals. FTX did not respond to a request for comment.
A crisis of confidence
there also Early signs that the fallout could spread beyond the cryptocurrency markets, with Tense stock market slides on Wall Street overnight.
“Big exchange failure – this on on a different level,” said Danny Chung, CEO of Decentralized Tranchess Company, with The repercussions are likely to be broader than failure of stablecoin TerraUSD and this Crypto Three Arrows Capital hedge fund year.
“Popular funds, including market makers currently with He said: FTX. only when people They thought Coded Winter might not be so last … along comes another episode like this is.”
The US securities regulator is investigating the dealings with FTX.com of Customer funds and cryptocurrency lending activities, according to a source with Knowledge of Investigation.
Bloomberg reported that the US State Department of Justice (DOJ) also Consider turbulence. Official Spokesperson of the Ministry of Justice declined to me comment.
Investors already writing off Money plowed into FTX. Sequoia Capital Venture Fund Books down A bid of $150 million for zero on Wednesday. Canada’s Ontario Teachers’ Retirement Scheme, Japan’s Tiger Global and Softbank also FTX Investors.
Most cryptocurrency players remain Long-term optimist term But she’s getting ready for More falls in near future. Bitcoin’s losses of 20% this week are comparable to drop in June when Three Arrows Capital came under pressure.
“What makes this? new phase … The problem is that the number of destinations with The strongest budgets are able to save these with Low capital and high leverage are shrinking” says Analysts at JPMorgan.
‘Now that the balance sheet strength of Alameda and FTX research come under question only a few months after they were seen as strong balance sheet entities, creating a crisis of confidence and slashing appetite of Other crypto companies to the rescue. “
Cryptocurrency markets suffered huge losses on Thursday, with bitcoin Pinned near a year low as investors worry about the fallout from the implosion of FTX cipher exchange.
Biggest rival Binance withdrew from the rescue deal on Wednesday. FTX head Sam Bankman-Fried said he “explores every options”But hopes are fading for rescue left FTX swing. message on FTX website He said: “FTX is currently Unable to process withdrawals. Strongly recommend against deposit”.
concentration on The unknown size of Customer losses and hit to feelings from latest And perhaps the biggest collapse in Industry turned into a minefield for investors.
FTX’s native tokenFTT is down 90% this week and has been trying to hold around $2 – not much higher than him record a little of About $1.50. Bitcoin down below $16000 for The first The time since late 2020 was overnight and it was last Priced at $16,435.
Binance Support out of Non-binding offer to buy FTX after due diligence. Another exchange, OKX, said it was also Bankman-Fried called her this week, who Described opponents of $7 billion needed fast coverage.
Even Elon Musk wouldn’t be able to commit to agree with $7 billion commitment in just a few hours of Negotiation. That was a lot for usLennix Lai, director of financial Markets in OKX for Reuters.
“(that it big Plug hole ‘is added. “The dagger will continue to hang. over encryption marketas long as the look of FTX Fate remains unclear.”
The Wall Street Journal reported that Bankman-Fried told investors that FTX needed $8 billion to cover withdrawals. FTX did not respond to a request for comment.
A crisis of confidence
there also Early signs that the fallout could spread beyond the cryptocurrency markets, with Tense stock market slides on Wall Street overnight.
“Big exchange failure – this on on a different level,” said Danny Chung, CEO of Decentralized Tranchess Company, with The repercussions are likely to be broader than failure of stablecoin TerraUSD and this Crypto Three Arrows Capital hedge fund year.
“Popular funds, including market makers currently with He said: FTX. only when people They thought Coded Winter might not be so last … along comes another episode like this is.”
The US securities regulator is investigating the dealings with FTX.com of Customer funds and cryptocurrency lending activities, according to a source with Knowledge of Investigation.
Bloomberg reported that the US State Department of Justice (DOJ) also Consider turbulence. Official Spokesperson of the Ministry of Justice declined to me comment.
Investors already writing off Money plowed into FTX. Sequoia Capital Venture Fund Books down A bid of $150 million for zero on Wednesday. Canada’s Ontario Teachers’ Retirement Scheme, Japan’s Tiger Global and Softbank also FTX Investors.
Most cryptocurrency players remain Long-term optimist term But she’s getting ready for More falls in near future. Bitcoin’s losses of 20% this week are comparable to drop in June when Three Arrows Capital came under pressure.
“What makes this? new phase … The problem is that the number of destinations with The strongest budgets are able to save these with Low capital and high leverage are shrinking” says Analysts at JPMorgan.
‘Now that the balance sheet strength of Alameda and FTX research come under question only a few months after they were seen as strong balance sheet entities, creating a crisis of confidence and slashing appetite of Other crypto companies to the rescue. “