Binance pulls out of FTX takeover deal

Recently, much of the attention of the cryptocurrency community has been centered around the conflict between the Binance and FTX exchanges. A couple of days ago, FTX was in such bad shape that their token dropped from $19 to $5 in a matter of hours, and over the past week, the token has dropped from a total of $22 to $3. At the time of writing, the cost of FTT (FTX exchange token) is equal to $2.83.

The collapse of the coin began at the moment when the head of Binance, Changpeng Zhao, announced the abandonment of the token and began selling FTT. The course was collapsed not only at FTT, but also at other crypto projects with which FTX had a connection. According to analysts and research data, FTX is in a very difficult position. CoinDesk, citing internal documents of the crypto exchange, reported that FTX has liabilities in excess of $8,000,000,000. These obligations include securing not only FTT, the exchange token, but also other crypto assets, including Solana (SOL) and Serum (SRM). Such obligations put enough effort on FTX to ensure that the latter can secure the repayment of the loan.

Due to the fact that the FTT token began to collapse, most of the clients began to fix huge losses and save the funds that they had left. Such a move collapsed the token even more. After the incident, the leadership of Binance and FTX had a conversation, during which the former announced their readiness to absorb the American crypto exchange. The deal could have gone well, but the US and European Union antitrust authorities stepped in and said they did not support this turn of events. As a result, Binance has decided not to take over FTX. The latter may soon declare their bankruptcy.

It is noteworthy that Sam Benkman-Fried, the owner of the FTX exchange, suffered big losses. His estate dropped from $16,000,000,000+ to $991,000,000. Sam is famous for his support of the Democratic side of politics in the United States. He also provided financial support to the Democratic Party of George Soros and was the second person in terms of the amount of funds invested there.

Recently, the bear market has been showing itself in all its glory and many cryptocurrencies are showing a rapid peak. For example, over the past 24 hours, Bitcoin has dipped from $17,800 to $15,700 and has already managed to grow to $17,400. One of the clear leaders in terms of drawdowns was Solana and Dogecoin. Over the past week, Solana (SOL), which has many NFT projects on its blockchain, has lost 47% and dropped from $31.4 to $16.6. Elon Musk's favorite meme-token Dogecoin (DOGE), in turn, suffered a little less loss and lost about 30% in value. It dropped from $0.13 to $0.09.

The massive dump that has taken place in recent days is likely to take a break for now, as the coins have corrected and gained some value. Bitcoin, after falling to $15,500, has already risen to $17,500, and following it, many cryptocurrencies also began to gain price. Polygon (MATIC), Avalanche (AVAX), Stellar (XLM), Filecoin (FIL), Hedera (HBAR), Maker (MKR), Trust Wallet Token (TWT) and FTX Token (FTT) have the best indicators in this regard. MATIC is up 17%, AVAX is up 8%, XLM is up 5.5%, FIL is up 3.6%, HBAR is up 5.35%, MKR is up 27%, TWT is up 8.2%, and FTT is up. the last hour has risen by 20.5%.