Sam Bankman-Fried, the CEO and founder of FTX, says a “competitor” is spreading false rumors about his company, adding that FTX is “Fine. Assets are fine.”
Bankman-Fried made his claims in a series of Tweets.
1) A competitor is trying to go after us with false rumors.
FTX is fine. Assets are fine.
— SBF (@SBF_FTX) November 7, 2022
According to Bankman-Fried, FTX has enough assets to cover all client holdings.
“We don’t invest client assets (even in treasuries). We have been processing all withdrawals, and will continue to be.”
He added that:
“It’s [FTX] heavily regulated, even when that slows us down. We have GAAP audits, with > $1b excess cash. We have a long history of safeguarding client assets, and that remains true today.”
The Tweets appear to be in response to comments made by Chengpeng “CZ” Zhou yesterday indicating they were liquidating FTT, the native token of FTX.
CZ said they were liquidating their holdings of FTT “due to recent revelations that have come to light.”
Binance invested in FTX, receiving approximately $2.1 billion in BUSD and FTT following its exit.
Crypto Twitter has been actively engaged in the virtual fisticuffs, picking sides.
Binance is the largest crypto exchange in the world, but FTX has been growing rapidly with its top trading services and compliance-first approach.