The problems between CZ of Binance and SBF were too hot and fresh for the crypto ecosystem. CZ accused FTX of not holding enough reserves to strengthen the token, FTT.
Though, initially, FTX team constantly claimed that the FTX exchange had enough sources for a possible concern with FTT, the dispute between these well-known and rich figures directly affected the ecosystem. While writing this post, FTT is traded for $4 though it was $23 yesterday.
I believe we are already experienced with such issues. 3AC, Celsius, and LUNA cases were also in the same line with FTT catastrophe. At the end of each case, people lost their money because of the centralized service providers which were not successful at keeping the reserves as stable as they should be.
Binance Ate a Strong Rival
FTX was a competitor for Binance exchange as both exchanges were heavily compared in crpto. Spotting the weaknesses of FTX, CZ played a game with its own rules. He decided to use his social power and FTT bag against the currency of FTX exchange.
When CZ resembled FTT to LUNA, it triggered another free-fall for cryptocurrencies. In the end, Binance and FTX are under investigating due to the recent shady moves 🎬
Melting FTT signs for huge concerns over FTX funds,
FTX funds owns 10% of SOL tokens,
In the case that FTX is acquired by Binance, 10% of SOL is indirectly owned by Binance, as well.
The Destiny of SOL
To be honest, FTX has nothing to do with SOL but with selling it to buy FTT to slow down the free-fall of its native token. If we put Alameda aside from FTX exchange, now the company lost its FTT reserves in value and holds a bunch of SOL that is still a big question market for everyone.
SOL already had fundamental problems with hack cases, chain halts and there is no need for SOL while we have APTOS to replace it. Eventually, the things got worse for SOL to come back from these price levels.
The price of token dropped up to $19 but it is trying to recover. In my opinion, if Solana can stay strong in this terrible event, the project can survive and evolve for some more time. If it is not possible, I'm sure there is going to be a more sell pressure on the token by the community members.
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