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Binance to acquire FTX

bloomberg.com

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Re: Binance to acquire FTX

#14

Post by dibt »

https://twitter.com/SBF_FTX/status/1590012133307478016

>Note that http://FTX.us and http://Binance.us – two separate companies–are not currently impacted by this. http://FTX.us withdrawals are and have been live, is fully backed 1:1, and operating normally.

I wonder if this means SBF will continue operating FTX.us as a competitor to other US-based exchanges.

Re: Binance to acquire FTX

#15

Post by JumpCrisscross »

datalopers wrote: post #12
sherlock_h wrote: post #9

Wow. What an outcome to the whole saga. I wonder what happened behind the scenes

CZ triggered it, destroyed FTX, and now gets to be the hero.

> CZ triggered it

Binance called attention to the weakness. The underlying issues were all caused by FTX.

Re: Binance to acquire FTX

#16

Post by ucha »

SBF said "We don't invest client assets (even in treasuries)". [0]

He then says the purpose of the transaction with Binance is to "clear out the liquidity crunches". [1]

How could there be a liquidity crunch if assets are not invested? You can't do a bank run on an entity that doesn't function as a bank and doesn't invest clients assets... Something is shifty.

[0] https://twitter.com/sbf_ftx/status/1589598285798707202

[1] https://twitter.com/sbf_ftx/status/1590012126701441025

Re: Binance to acquire FTX

#17

Post by ramish94 »

I’m a little ignorant to the whole crypto ecosystem, so can someone give me a quick rundown on the chain of events that led to this? Seems a little out of left field.

BTX, from the outside looking in, looked to be one of the more well run, stable crypto exchanges. $1.02 billion in revenue with $388M in net income in 2021. They didn’t go on any crazy hiring spree when they didn’t have to. Liquidity crisis implies that people are withdrawing cash they do not have, but if so, where did it go?

Re: Binance to acquire FTX

#18

Post by throwaway4good »

So wouldn't this trigger and potentially be blocked by CFIUS? Given Binance's Chinese roots and the general anti-China sentiment in US politics.

Here is an article about the twitter acquisition also with Binance/CZ onboard - this would similar or worse, no?:

https://www.brookings.edu/research/the-national-security-gro...

The national security grounds for investigating Musk’s Twitter acquisition

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