FTX Resumes Withdrawals After 48 Hours, On-chain Data Shows
Troubled cryptocurrency exchange FTX.com appears to have resumed withdrawals after pausing the service for more than 48 hours due to a severe liquidity crunch that became public earlier this week.
FTX Resumes Withdrawals
According to on-chain data on Etherscan, funds started leaving the exchange at about 17:00 UTC. The data shows that massive withdrawals are ongoing, indicating that users with large funds may be trying to get their assets off the exchange.
FTX is yet to make an official announcement regarding the withdrawal status on the platform
Recall that the exchange halted withdrawal on Thursday afternoon after it ran out of liquidity due to the collapse of its utility token, FTT, earlier this week. The fiasco started after rival exchange Binance announced plans to sell off all its FTT holdings worth over $500 million.
After going back and forth on how to remedy the situation, which caused a massive bloodbath in the market, Binance signed a non-binding agreement to acquire FTX. However, Binance backed out of the deal less than 24 hours later, saying that FTX’s liquidity issue was beyond its control.
FTX CEO Apologises to Users
Earlier today, CryptoSavingExpert reported that Tron’s founder Justin Sun said he was working with FTX to create a “holistic solution” that will allow users to withdraw their funds from the platform.
Shortly after, FTX CEO Sam Bankman-Fried (SBF) apologised to the crypto community, vowing to make users whole. He noted that he is trying to raise liquidity, and any funds raised will go to users who had their funds locked in the exchange.
~ By William A. Frederick ~
