With the decrease of its token FTT, FTX is presently receiving user criticism for delayed withdrawals. The cryptocurrency exchange reacted to the concerns on its own Twitter account, assuring consumers that everything was well. However, FTX noted that Bitcoin withdrawal node throughput is restricted.
Despite a number of Twitter threads in which the exchange addressed their concern, the crypto community did not accept the exchange’s justifications. Some individuals replied with tweets expressing their support for FTX, while others voiced scepticism. A user said that the answer from the business shows that everything is not okay.
FTX confirmed to its followers on Twitter that its matching engines and nodes are operating normally. It was also said that the processing of stablecoins is sluggish since banks are closed over the weekend. However, they said that they altered the procedure to increase efficiency.
In the meanwhile, Reddit users voiced their worries over the growth of FT. They referenced how Celsius halted withdrawals and misled consumers before declaring bankruptcy.
The revelation of Binance’s decision to sell its FTT stake resulted in a 10% price decrease for the token.
The CEO of Binance, Changpen Zhao, tweeted on November 6 that all FTT holdings will be liquidated. The chief executive officer claimed that the decision is a risk management approach based on lessons acquired from Terra’s demise. On-chain data indicates that an unidentified wallet transferred to Binance 23 million FTT valued at $520 million.
Sam Bankman-Fried, the chief executive officer of FTX, remarked on the issue, stating that it is time to build up the industry. In addition, he praised the work of many in establishing the crypto sector and concluded by appealing for peace rather than conflict.