FTX Received $6 Billion Worth Of Withdrawal Request In 72 Hours
Within the past 3 days, FTX has received around $6 billion worth of withdrawal requests from its users. This was revealed in a message sent by the FTX CEO to the staff. According to experts, the reason for this rush among FTX users for withdrawals is due to the news of FTX being acquired by Binance.
As soon as the news hit the market, the whole crypto industry started to worry about liquidity fears. In the past, we have already seen how the UST caused the demise of the Three Arrows and Celsius. Given how the Bankman-Fried is considered to be the saviour of the crypto industry, this was an additional shock as well.
On average, the amount of inflows and outflows is usually in the tens of millions. And it seems that things were going smoothly for FTX till this weekend. However, everything changed during the last 72 hours as the crypto firm was faced with massive withdrawal requests.
As for the deal between Binance and FTX, the exact details are still being discussed. So to get an exact answer to the terms being discussed in the deal, it seems that we will have to wait.
So far, around $2 trillion has been wiped from the market cap of cryptocurrencies. Furthermore, many big-name crypto exchanges and hedge funds have also gone under... So, in short, things are not going great for crypto, and now we have the FTX saga on our hands.
This means that we will have to wait to know the exact nature of the deal between Binance and FTX. If Binance ends up buying FTX and takes over control, it might mean an end to the problems faced by FTX users. But if the deal falls through, it could further intensify the problems of FTX.
However, it seems that users are worried about the takeover of FTX by Binance as they are rushing to withdraw their funds.