amberrrr789
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Stay Tuned with MEXC Global (11/09/2022)
Yesterday, Binance revealed their intention to purchase FTX in order to protect their users from the liquidity problem. But what's this? Following a study of the FTX's order book and other financial data, there are currently reports claiming that Binance may withdraw from the agreement. 42.5% of respondents to a survey conducted on CoinDesk's Twitter account feel that CEO CZ is unlikely to accept the offer. According to 33.9% of votes, Binance will unquestionably purchase FTX and protect its users. How do you feel? What impact does that have on the cost of SOL? Let's now talk about the FTT price, which is your most pressing problem.
Will Binance follow through on the FTX deal? (Source: CoinDesk Twitter)
As of this writing, the price of FTT is $2.986, over 46% less than it was yesterday. The cost of FTT decreased by 75.14% yesterday. FTT value fell 88.86% from one month prior. Retail investors were not the only ones impacted by this; several institutions also found themselves in a sticky situation.
FTT 1H Price (Source: TradingView)
There is a list of businesses that are vulnerable to the risks of this conflict between the two main cryptocurrency exchanges, according to a report by CoinDesk. Gemini, Wintermute, Multicoin, and more coins are on the list. In a tweet posted yesterday, cryptocurrency exchange Gemini stated that they had "hedged and sold collateral leading in a total loss of about $7M across all counterparties, including Alameda." Gemini further highlighted that their relationship with FTX is one of trading rather than loans. They appear to be attempting to make a distinction between themselves and FTX in order to maintain their users' trust in this shaky market.
How does it affect Solana (SOL)?
At the same time, this murky trade has a negative effect on the Solana token, or SOL. SOL's price dropped 19.56% yesterday. The dump is still ongoing. SOL's price has fallen another 54.13% today, to a low of $9.67 as of this writing. So why does it suffer such severe effects? According to a Fortune Crypto story, FTX and its CEO Bankman-Fried have been backing Solana for a long time. It is important to note that SOL is the second-largest shareholder in Bankman-trading Fried's company Alameda. It amounts to about 10% of Solana's market capitalization.
The fear is now palpable in the air. This is because, if Binance were to gain a sizable amount of SOL, it might prioritize its own coin, BNB, and sell its SOL holdings as a result, driving the price further down. We can see that SOL is suffering as a result of its direct connection to Bankman-Fried, and the crypto world is still waiting for Binance to make an official announcement regarding the deal.
Final Thoughts
Not going to lie, CZ pulled off a clever move that effectively eliminated one of its main rivals from the picture. FTX's founder Bankman-willingness Fried's to sell its magnificent "workpiece" in order to save its users is another trait I appreciate. I am now unsure of how this crypto drama will conclude. All I can do is hope that individual investors will trade cautiously and that the exchanges will safeguard their users.
Yesterday, Binance revealed their intention to purchase FTX in order to protect their users from the liquidity problem. But what's this? Following a study of the FTX's order book and other financial data, there are currently reports claiming that Binance may withdraw from the agreement. 42.5% of respondents to a survey conducted on CoinDesk's Twitter account feel that CEO CZ is unlikely to accept the offer. According to 33.9% of votes, Binance will unquestionably purchase FTX and protect its users. How do you feel? What impact does that have on the cost of SOL? Let's now talk about the FTT price, which is your most pressing problem.
Will Binance follow through on the FTX deal? (Source: CoinDesk Twitter)
As of this writing, the price of FTT is $2.986, over 46% less than it was yesterday. The cost of FTT decreased by 75.14% yesterday. FTT value fell 88.86% from one month prior. Retail investors were not the only ones impacted by this; several institutions also found themselves in a sticky situation.
FTT 1H Price (Source: TradingView)
There is a list of businesses that are vulnerable to the risks of this conflict between the two main cryptocurrency exchanges, according to a report by CoinDesk. Gemini, Wintermute, Multicoin, and more coins are on the list. In a tweet posted yesterday, cryptocurrency exchange Gemini stated that they had "hedged and sold collateral leading in a total loss of about $7M across all counterparties, including Alameda." Gemini further highlighted that their relationship with FTX is one of trading rather than loans. They appear to be attempting to make a distinction between themselves and FTX in order to maintain their users' trust in this shaky market.
How does it affect Solana (SOL)?
At the same time, this murky trade has a negative effect on the Solana token, or SOL. SOL's price dropped 19.56% yesterday. The dump is still ongoing. SOL's price has fallen another 54.13% today, to a low of $9.67 as of this writing. So why does it suffer such severe effects? According to a Fortune Crypto story, FTX and its CEO Bankman-Fried have been backing Solana for a long time. It is important to note that SOL is the second-largest shareholder in Bankman-trading Fried's company Alameda. It amounts to about 10% of Solana's market capitalization.
The fear is now palpable in the air. This is because, if Binance were to gain a sizable amount of SOL, it might prioritize its own coin, BNB, and sell its SOL holdings as a result, driving the price further down. We can see that SOL is suffering as a result of its direct connection to Bankman-Fried, and the crypto world is still waiting for Binance to make an official announcement regarding the deal.
Final Thoughts
Not going to lie, CZ pulled off a clever move that effectively eliminated one of its main rivals from the picture. FTX's founder Bankman-willingness Fried's to sell its magnificent "workpiece" in order to save its users is another trait I appreciate. I am now unsure of how this crypto drama will conclude. All I can do is hope that individual investors will trade cautiously and that the exchanges will safeguard their users.
