The Binance exchange team has stopped deposits in FTX utility tokens (FTT) following a suspicious movement of a large amount of FTT by token developers. This was announced by the head of the company, Changpeng Zhao.
.@binance has stopped FTT deposit, to prevent potential of questionable additional supplies affecting the market. We will monitor the situation.
Also encourage other exchanges to do the same, just to be safe. Let’s not have another GALA.
— CZ 🔶 Binance (@cz_binance) November 13, 2022
“Binance has halted FTT deposits to prevent questionable additional shipments from potentially impacting the market. We will be monitoring the situation. We encourage other exchanges to do the same, just to be safe. Let’s not have another one GALA“, he wrote.
FTT tokens released on the premine. For FTX employees and other affiliate holders, unlock scheduleaccording to which the project team can freely dispose of assets starting from May 1, 2022.
Also Zhao notedwhat’s up with the contract FTX: Deployer “moved the entire remaining $400 million FTT offer.” According to the developer of yEarn Finance under the nickname banteg, we are talking about assets that Alameda Research previously sent to the specified address.
Correction: there are no admin minting privileges, ERC20 contract guarantees max supply of 350m
Must have been locked tokens or something. Would guess that 1.5x of current circulating supply were not supposed to legally unlock *today*
— foobar (@0xfoobar) November 13, 2022
The stop of deposits was supported by Justin Sun. He revealed that Huobi will also suspend FTT deposits.
.@HuobiGlobal has echoed @cz_binance‘s advice on stopping FTT deposit and will closely monitor the situation 🫡 https://t.co/fpP7bzLnMA
— HE Justin Sun🌞🇬🇩🇩🇲🔥 (@justinsuntron) November 13, 2022
We reported that unknown people withdrew from FTX wallets over $400 million in digital assets. Based on different ratingsthe total volume of displaced funds reached $600 million.