Binance walks out of FTX bailout...Another Twitter scenario??

[Majestic-milf]

 Its quite normal now for business moguls to up and make decisions that could affect the public and investors at large positively or negatively. Yesterday saw the media flooded with news of Binance, world's largest crypto currency exchange, come to the rescue of Sam Bank Friedman's FTX and proposing a buyout but it looks like the billionaire is trying to borrow a leaf from Elon Musk and taking a chill pill on the deal.

 There seems to be a lot of skeletons in FTX cupboard as it was revealed by Chang that his reasons for pausing are " there are mishandled customer funds and alleged US agency investigations".

 FTX has been struggling with a surge in withdrawals that caused a liquidity crunch. It actually became worrying when the company's financial frame of mind reportedly triggered $6bn(£5.2bn) of withdrawals in a space of 3 days.

 Will this issue be later rectified and his mind be changed or would he be forced to go ahead with the deal like Elon did?

https://www.google.com/url?q=https://www.bbc.com/news/business-63577783&sa=U&ved=2ahUKEwjQx9bnjKP7AhXz_rsIHU6DBIcQFnoECAQQAw&usg=AOvVaw3mRlYF8iI-bcGpo2kXSvpo

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[yazher]

 FTX has been struggling with a surge in withdrawals that caused a liquidity crunch. It actually became worrying when the company's financial frame of mind reportedly triggered $6bn(£5.2bn) of withdrawals in a space of 3 days.

Well! that's sudden and I don't think they have any solutions to that kind of surprise. looks like they will gonna halt their activities if this will not cease and there's no doubt that this is already considered panics withdrawals. Damn! I can understand the owner's frustration but they also need to save their users because if I were only one of those guys, I would have done the same thing when I see everyone getting their money out of FTX.

[asriloni]

It's the owner's fault. The fact that this thing will not gonna happen if SBF was not using people's fund to invest in another project and donating it to the politicians. The problem of private company if the financial will never be reported whether it would be good or not. Binance walks out due to the some reasons.
It's clear that these reasons already fully explained by binance. The reason is the financial report from FTX is helpless. It can't be helped by binance and another reason is binance doesn't wanna try to be involved direclty with US regulators who have been doing investigation to the FTX.
US has been paying so many attention to the FTX recently. That was forcing binance to go out from the market as soon as it can.

No choice for binance other than walking out from the deal. there's no good sign from FTX.

[Yaunfitda]

I don't think it can be rectified, well the supposedly help from CZ could do the trick. But in the last minute, he back out as it might not be worth risk for him. And so the market continue to suffer, bitcoin for example capitulating at $15,500, while the rest of the altcoin market is bleeding in the last 3 days.

I know that others says the CZ is playing us, but he can only do that much to save FTX. So the whole blame should be on the people behind FTX, they are the own who let this things happen to their customers in the first place.

[avikz]

It can't be rectified so easily. If there were financial irregularities and some sort investigation is being planned at some point of time, there's no way, CZ will get his hands dirty! He is a serious businessman and always try to stay clear out of legal troubles.

If in case FTX is declared free of any financial irregularities, then CZ might go ahead and save the bill but at this situation it looks highly unlikely. For us, it's an opportunity to buy at dip and save some more bitcoins for future use!

[omone1]

It's a very reckless behavior from FTX team, mishandling customers fund, this has damaged their reputation. With this FTX failure, people will now be very much afraid of CEX. I personally hold significant of my fund on on my private wallets. DEX has made a lot simple.

[so98nn]

That’s the problem of decentralised market. It gives you pros and cons in the same market. So on a good day everything will run smoothly but when it comes to the pockets of billionaires well they start move the market the way they want. Not just this, FTX also impacted investments of Tom Brady and Gisele have caught up the fire of FTX dump.

You never know who will be hunted down by crypto. This is the reason we must always invest into the coins like Bitcoin and ETH to stay away from the untrusted stakes like LUNA and FTX or basically any other altcoin.

[zasad@]

CZ is not an idiot, he understands what fraud was on the FTX exchange, and buying this exchange could end up with very bad consequences for Binance.FTX supported the Democrats and the Republicans won. It is very interesting how the SEC investigation will end.

[posi]

With this FTX failure, people will now be very much afraid of CEX. I personally hold significant of my fund on on my private wallets. DEX has made a lot simple.

There are also a lot of people withdrawing to their personal wallets but also a lot of investors are turning to binance, people will quickly forget about the problems caused by FTX as this is not the first time a centralized exchange has crashed. It seems that Binance is the biggest beneficiary, the price of BUSD has also increased against USDT which is pretty crazy for stablecoins but it happened. And Binance also just announced the number of assets they are holding to prove their transparency.


https://www.binance.com/en/blog/community/our-commitment-to-transparency-2895840147147652626?fbclid=IwAR1j2ci6iU92DQGq7VoXgMgbvpDzy5BOjaNw2ZKRr80j3oBGyzxb1D_d_SQ

[hugeblack]

What are the points of comparison between the two, or are you trying to include the word Elon Musk in a useful word?
What is happening now is financial mismanagement of the platform and may include squandering customer money in personal interests, which is different from the Twitter deal.
I also do not deny the suspicions that it is an attempt by Binace to swallow the competitors.

[electronicash]

not a twitter scenario. this is funding the loss. this is not to be low ball.

binance already faced a lot of challenges from regulators due to the nature of crypto and them operating on foreign countries.
if them giving billions to FTX comes with all the headaches is worth then CZ will push through the bailout. acquiring FTX will activate the big eyes of Gary Gensler to scrutinize the insolvency of FTX and CZ will be grilled over and over again.

[serjent05]

CZ is not an idiot, he understands what fraud was on the FTX exchange, and buying this exchange could end up with very bad consequences for Binance.FTX supported the Democrats and the Republicans won. It is very interesting how the SEC investigation will end.

True, it would be like catching a falling knife, CZ won't even think of buying the exchange since it has already a problem and the investigation of FTX is yet to be concluded.  CZ possibly mastered the art of the business and won't make the wrong call of buying that exchange.  Besides, FTX is on the verge of collapse due to the rumored user fund mismanagement, so I think aside from the current investigation, tons of possible lawsuits will be filed against the exchange owner.

To me, this seems like some kind of manipulation.
And just when the market is recovering CZ and FTX issue came up.
No wonder we're always adviced not to save our funds in Central system.

I do not think it is a manipulation, it is more of a coincidence.  I do not think that the issue of FTX greatly affects the crypto market,  There are already lots of event like this but somehow most of them doesn't affect the crypto market that much.

[BIT-BENDER]

 Will this issue be later rectified and his mind be changed or would he be forced to go ahead with the deal like Elon did?

Changpeng Zhao the ceo of Binance is a smart man and also has lots of smart people around him, i personally think he made a hasty decision the first time and after much consideration I believe they would back out off the FTX deal.

To be honest FTX doesn't draw much competition on binance and Changpeng Zhao can't possibly by out all rivals even if he wants to. I think mark Zuckerberg for example tried it and we can see how he has dropped in the Forbes list.

It's a big world and competition creates room for growth CZ should focus more on Binance and end this drama about FTX.

[Johnyz]

CZ is not an idiot, he understands what fraud was on the FTX exchange, and buying this exchange could end up with very bad consequences for Binance.FTX supported the Democrats and the Republicans won. It is very interesting how the SEC investigation will end.

Let’s exclude that politics side but FRX is really on a big danger here, most probably cases against them will soon be filed if they can’t survive on this, this is a wise move for Binance not to bailout FTX or else they will be part of the problem of FTX. USDT freezes the holdings of FTX, that could be a good fund to compensate the losses I just don’t know how long they can take it, but it looks like they are already getting there.

[blockman]

It's a very reckless behavior from FTX team, mishandling customers fund, this has damaged their reputation. With this FTX failure, people will now be very much afraid of CEX. I personally hold significant of my fund on on my private wallets. DEX has made a lot simple.

It will become a trend that everyone will have to keep their assets through their hands now and wallets that they hold the private keys. Yeah, there might be a demand for the DEX for now and people would have turn their money from CEX to DEX and that's why they don't trust it anymore.
As a matter of fact, the event that has come to FTX is really their fault and they can't blame the people if most of their customers are now going away from them and not just them and to other the same exchanges that's also existing.

[Jating]

To me, this seems like some kind of manipulation.
And just when the market is recovering CZ and FTX issue came up.
No wonder we're always adviced not to save our funds in Central system.

I'm not sure about the manipulation, can we say that as well in the Luna debacle? we are also recovering or at least the price is going up prior to the collapsed. But I do agree that it is one advised that we should followed, not to leave in some centralized exchanges as changes are, when they go exit like this one, your money is gone.

But back to the subject, I also don't see any comparison on Twitter. It was very different, here CZ is trying to help FTX, but maybe he thinks that he can't no longer help as the situation is out of hand and that maybe it could affect him later, (regulations on FTX coming later.)

[TimeTeller]

To me, this seems like some kind of manipulation.
And just when the market is recovering CZ and FTX issue came up.
No wonder we're always adviced not to save our funds in Central system.

I'm not sure about the manipulation, can we say that as well in the Luna debacle? we are also recovering or at least the price is going up prior to the collapsed. But I do agree that it is one advised that we should followed, not to leave in some centralized exchanges as changes are, when they go exit like this one, your money is gone.

But back to the subject, I also don't see any comparison on Twitter. It was very different, here CZ is trying to help FTX, but maybe he thinks that he can't no longer help as the situation is out of hand and that maybe it could affect him later, (regulations on FTX coming later.)

I also believe that CZ thought that they can recover or should I say, rescue FTX.
However, they soon found out that the issues and problems of FTX is beyond recovery.
Hence, walking out from the previous statement of buying the FTX, and now, the crypto market is in another uncertainty period.
But I guess, a lot of people bought when btc went down to $15k+, as they can easily get profits even selling at the current price of $17k+.

[Captain Corporate]

I don't know if he will eventually get it or not, but I know that CZ is not doing this because he just wanted to toy with the idea like Elon did, this would be a huge profit making move and there is a difference. Elon took over a company that was losing money and paid x4 more than what he should have, that is a horrible horrible business deal and not even a kid would do that, but he is mental and that is why he did it, guess he needs some psychological help. CZ on the other hand would love to do this, but the offer is not good enough, plus there are tons of risks involved, if there are no more risks and all is cleared, and if the offer is on the table at that point and looks good, of course, he will take it. It all just needs a bit more time.

[CuriousGeorge]

It's a very reckless behavior from FTX team, mishandling customers fund, this has damaged their reputation. With this FTX failure, people will now be very much afraid of CEX. I personally hold significant of my fund on on my private wallets. DEX has made a lot simple.

No it's not. DEX has the same risk as CEX, once your dex got drained or hacked and it will have the same fate as FTX. There's no safe place in crypto. The problem is using people's money to invest in another project through its VC was the biggest mistake by SBF.
This gonna be a long term problem. Alameda needs to liquidate all of its assets even its company to give small liquidity for the users of FTX.

Alameda fucked us.

To me, this seems like some kind of manipulation.
And just when the market is recovering CZ and FTX issue came up.
No wonder we're always adviced not to save our funds in Central system.

What manipulation? all of truth being revealed. Look at the tweet that already made by fuckin alameda CEO. CZ was just trying to test the liquidity from FTX. it seems like that CZ aware about the truth in alameda and FTX. that's why he was deciding to dump all of its FTT to the market.
Nice cash for CZ but CZ was also fucked so many FTT holders / retail investors.

[electronicash]

It's a very reckless behavior from FTX team, mishandling customers fund, this has damaged their reputation. With this FTX failure, people will now be very much afraid of CEX. I personally hold significant of my fund on on my private wallets. DEX has made a lot simple.

No it's not. DEX has the same risk as CEX, once your dex got drained or hacked and it will have the same fate as FTX. There's no safe place in crypto. The problem is using people's money to invest in another project through its VC was the biggest mistake by SBF.
This gonna be a long term problem. Alameda needs to liquidate all of its assets even its company to give small liquidity for the users of FTX.

Alameda fucked us.

To me, this seems like some kind of manipulation.
And just when the market is recovering CZ and FTX issue came up.
No wonder we're always adviced not to save our funds in Central system.

What manipulation? all of truth being revealed. Look at the tweet that already made by fuckin alameda CEO. CZ was just trying to test the liquidity from FTX. it seems like that CZ aware about the truth in alameda and FTX. that's why he was deciding to dump all of its FTT to the market.
Nice cash for CZ but CZ was also fucked so many FTT holders / retail investors.

yez in CZ's mind, that's what you get for not going all in BNB!  but he tweeted he felt sorry for SBF who is now a peasant to them. no hard feelings.

CZ is avoiding the regulators coming in to investigate FTX. he'd rather watch the exchange drown than getting tangled with all the scrutiny.
Justin Sun i think wants to chip into save the exchange. but this is just him being Justin again.