Almost half a billion dollars were taken from the now failing FTX exchange, and no one really knows where the money went.
FTX Has No Money
Spokespeople for the crypto exchange say that ‘illegal transactions’ are responsible for the lost currency, and it is said that the company may have been hacked and the currency is Fly. The question is: “By whom?”
At the time of writing, the company has moved all of its remaining funds into cold storage to ensure that no further illegal transactions can take place. FTX is also working with law enforcement and regulators to investigate potential incidents. We will have to wait and see what the fall is, but I think we will see more dominoes falling and a significant number of people stand to lose their money and their life savings, and that is n ‘True tragedy, indeed.
FTX may go down in history as one of the worst scandals to happen in the digital currency space. Founded in 2019, the company is still fresh in its fall. By some miracle, the company became a household name easily within three years of its full existence, and many cite its founder Sam Bankman-Fried as a wisdom in it. They were wondering how he could make the company so big in such a short period of time, but clearly things were not going well for the company to stay afloat.
The problem for the company started in mid-November when it was announced that FTX was experiencing something of a “financial crisis”. Apparently, the company did not have enough money on hand due to incorrect financial accounts and the FTT token, which is the native cryptocurrency of the exchange, saw its price drop significantly.
The company reached out to Binance for help and at some point there were reports that a large company could buy a small one, but within about 24 hours Binance announced on social media that it was leaving the deal, saying that FTX problem is only. too big to catch.
Many Prefer The System
The event had several members of Congress expressing (unsurprisingly) their desire for strong crypto laws. Not long ago, Congressman Brad Sherman – a well-known crypto skeptic – referred to FTX as the reason why he is now looking to establish strong laws as a way to prevent something like this from happening .