News hardware This Man Wants to Save the Crypto Industry Despite Bitcoin’s Fall
As we witness the carnage of certain cryptocurrency giants following the downward trend of all virtual currencies in the market, billionaire Sam Bankman-Fried has taken it upon himself to rescue certain crypto soldiers in need. And why not expand your empire along the way…
FTX to save Voyager Digital customers
Since the start of the Bitcoin decline, the entire market has been dragged down, including companies in the sector. By dropping from €60,000 to €20,000, bitcoin caused a loss of liquidity in the coffers of several crypto companies.
For this reason, the Voyager Digital exchange platform is facing a delicate situation, putting its customers’ savings at risk. After all, customers have been unable to access their investments for several weeks.
This insolvency puts Voyager Digital on the brink of bankruptcy… Nevertheless, the CEO of the second largest cryptocurrency platform in terms of volume plans to help Voyager Digital’s customers.
FTX CEO Sam Bankman-Fried has reportedly made a proposal to help Voyager Digital customers whose funds have been frozen for a few weeks. To do this, the giant is offering to pay off its debts by purchasing the platform’s cryptocurrencies with the help of its investment fund Alameda Ventures. So if the proposal is accepted, FTX will own Voyager Digital’s name and various intellectual properties.
This action would allow Sam Bankman-Fried to develop the clientele of his platform as the unlocked cryptos will be accessible in early access, not on Voyager Digital, but on FTX (when opening an account).
“Customers are not required to register with FTX and this would be completely voluntary. FTX also does not require a minimum number of customers to agree to participate. Any customer who does not wish to register with FTX will retain all of their rights and claims in the bankruptcy proceeding, but will not be granted early access to payment of their claim through FTX. explains FTX in a press release.
The initiative is therefore not entirely uninterested, billionaire Sam Bankman-Fried, better known as SBF, made clear at the beginning of the year his intentions: to develop his kingdom in the sector, despite the crypto winter.
FTX Wants To Build A Crypto Empire: BlockFI, Bithumb…
After proposing to acquire the cryptocurrency platform Blockfi for $240 million, the 60th billionaire in the world believes he will be offered another chance.
According to Bloomberg magazine, FTX is in full swing with a competing crypto exchange: Bithumb. Negotiations on the takeover of the platform would take “several months”, but nothing has happened for the time being.
Bithumb is a cryptocurrency exchange platform that was founded in 2014. The famous company is considered to be a pioneer in the industry but is facing financial difficulties after the crash of the LUNA cryptocurrency last May.
This “mercato” of cryptos is not yet in its infancy… Since the beginning of the year, FTX has already acquired companies in the sector such as Liquid and Bitvo.
Due to the depreciation of cryptocurrencies in recent months, crypto companies are paying a high price, but also and above all customers. As a result, the industry gets bad publicity and users lose trust. Nevertheless, the bear market (bear market in crypto) is not only making people unhappy. Sam Bankman-Fried plans to take advantage of the difficulty of certain companies in the crypto sector to expand his empire. The CEO of FTX understands that all too well, so he believes his bailout strategy involves not just troubled companies, but the entire industry.