Chengpeng “CZ” Zhou, CEO and founder of Binance, has thrown some shade at competitor FTX announcing via Twitter it will be exiting its holdings of FTT, the native token of FTX, “due to recent revelations.” The revelations were not disclosed.
As part of Binance’s exit from FTX equity last year, Binance received roughly $2.1 billion USD equivalent in cash (BUSD and FTT). Due to recent revelations that have came to light, we have decided to liquidate any remaining FTT on our books. 1/4
— CZ 🔶 Binance (@cz_binance) November 6, 2022
CZ further stated that their liquidation of FTT was not a “move against a competitor.”
“Binance always encourages collaboration between industry players. Regarding any speculation as to whether this is a move against a competitor, it is not. Our industry is in it’s nascency and every time a project publicly fails it hurts every user and every platform.”
Binance is the top crypto exchange in the world, with FTX a distant second but growing rapidly.
As was reported, Sam Bankman-Fried responded on Twitter that they had no solvency issues and shared a link to a thread indicating all transactions were processing as expected.
1: Support updates:
— FTX (@FTX_Official) November 7, 2022
CZ said they would exit the position in FTT “in a way that minimizes market impact. Due to market conditions and limited liquidity, we expect this will take a few months to complete.”