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https://theconversation.com/the-spectacular-collapse-of-a-30-billion-crypto-exchange-should-come-as-no-surprise-194442>
"Not long ago, FTX was one of the world’s largest trading platforms for
cryptocurrencies. Founded in 2019, the Bahamas-based crypto exchange had a
meteoric rise to prominence, and was valued at more than US$30 billion earlier
this year.
All that has changed in the past two weeks. First, concerns emerged about links
between FTX and an asset-trading firm called Alameda Research, including
suggestions that customers’ funds have been transferred from FTX to Alameda.
A few days later, rival firm Binance (the biggest crypto exchange) announced it
would sell its holdings of FTT tokens, a crypto that reportedly comprises much
of Alameda’s assets.
Panicked customers rushed to withdraw funds from FTX, and the company is now on
the brink of collapse, with a banner message on its website announcing it is
“currently unable to process withdrawals”.
This is not the first such rapid disintegration we have seen in the loosely
regulated world of cryptocurrency, and it’s unlikely to be the last."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
