(New York Reuters) Cryptocurrency Exchange FTX on Friday (November 11) announced the launch of bankruptcy protection procedures in the United States. FTX founder and president Sam Bankman-Fric have resigned.
Earlier, FTX's competitors Binance gave up a proposed acquisition plan, making FTX eager to raise about $ 9.4 billion (S $ 13 billion) funds from other investors and competitors.
FTX was originally the world's second largest cryptocurrency trading platform. Recently, financial instability broke out, and the occurrence of user crowding occurred, which caused it to face a capital gap of up to $ 8 billion (about 11.2 billion yuan), at least 4 billion U.S. dollars "Life.
The Binance of Binance, which was interested in saving and rescued on Wednesday (November 9), issued a statement in Twitter: "Based on the latest news reports based on precise review results and improper handling of relevant customer funds, and the latest news reports of the US regulatory authorities are investigating, we decided to decideGive up the potential acquisition of ftx.com. "
After Binance announced the abandonment of the acquisition plan, the FTX company website posted an announcement saying that the company was temporarily unable to handle the customer's withdrawal requirements, and strongly suggested that customers not to deposit the money into the FTX account.
FTX's falling into the financial crisis has aroused investors' concerns about the prospects of the cryptocurrency industry. The price of Bitcoin is currently at a low price of about $ 16,000. The token FTT issued by FTX has fallen by 90 % this week.
John J Ray III was appointed to replace the president Fried.
