Binance Signs LOI to Acquire FTX.com

Ethereum Daily
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Binance signed a non binding letter of intent to acquire its rival FTX dot com. The deal does not include FTX U.S., which operates as a separate entity. Binance CEO CZ said FTX CEO Sam bankman fried reached out for help amid a liquidity crunch. FTX dot com has seen over $6 billion in user withdrawal requests over the last 72 hours. The move comes after binance announced plans to liquidate its position in FTX and declined and offered to have its position purchased from Alameda research, which is also owned by SPF. According to Reuters SPF approached other cryptocurrency exchanges, including oks before reaching a deal with binance, semaphore also reported the FTX was looking to raise more than a $1 billion from investors by midday on November 8th, the exchange is suspected of having a multi-billion dollar hole on its balance sheet after reportedly landing assets to Alameda research. The acquisition is currently pending due diligence from binance before a decision is made. Coinbase CEO Brian Armstrong assured users that the exchange has no material exposure to FTX or FTT and no exposure to Alameda research. Coinbase also published a blog post disclosing it holds $15 million worth of operational deposits on FTX, coinbase claims it never repurposes customer assets and holds user funds one to one. The statement comes as FT axis liquidity crisis ripples through the market akin to the collapse of Luna three arrows capital and Celsius,

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