Etherscan data from November 10 suggests that troubled cryptocurrency exchange FTX is once again processing withdrawals. After FTX announced on November 8 that it would be suspending all user withdrawals, the exchange’s hot wallet address remained dormant. However, as of 3:50 pm UTC on that day, it began processing withdrawal requests again. At the time of writing, the hot wallet held a total of $469 million in cryptocurrency, but blockchain data shows that a variety of tokens and a large number of transactions have since disappeared.
FTX CEO Sam Bankman-Fried tweeted earlier in the day that the company had about $16 billion in assets and $10 billion in liabilities. The native FTX Token (FTT), which is partly used as collateral by FTX, has fallen by over $8 billion in the past week, causing a severe liquidity crunch on the exchange. In addition to allegations that the exchange was lending deposits to cryptocurrency trading firm Alameda Research on November 6th, customers requested withdrawals of over $5 billion. After the failed Binance bailout, Bankman-Fried said he was trying to raise new capital to fix things.
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Disclaimer: This isn’t financial advice; it’s just for education. Crypted Crypto can’t guarantee its accuracy. Every investment and trade carries some risk, so always do your own research. Invest only what you can afford to lose.
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