Update (1100 CST): Following earlier comments from Binance boss CZ, CoinDesk is reporting the crypto exchange is highly unlikely to go through with its proposed rescue of FTX…
SCOOP: @binance is highly unlikely to go through with its proposed rescue of @FTX_Official after glancing at crypto exchange's books, according to a person familiar with the matter.@IanAllison123 reports.https://t.co/ORh1K9RufB
— CoinDesk (@CoinDesk) November 9, 2022
Following the news, Bitcoin dropped to a mere $16k. According to a person familiar with the situation, after considering FTX’s internal data and loan agreements for around half a day, Binance has decided strongly not to proceed with the deal.
Binance CEO Changpeng “CZ” Zhao said that the collapse of the rival crypto exchange “is not good for anyone in the industry…We did not master plan this or anything related to it… It was less than 24 hrs ago that SBF called me. And before that, I had very little knowledge of the internal state of things at FTX.”
Here is his letter to all Binance employees: