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Tag: FTT price

  • FTT Crashes 30% As FTX Relaunch Hopes Fade: Is the Dream Over?

    FTT Crashes 30% As FTX Relaunch Hopes Fade: Is the Dream Over?

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    The dream of a revived FTX exchange evaporates, triggering a massive sell-off of its native token, FTT. According to Kaiko, on February 5, FTT, the now utility-free currency of the defunct exchange, plummeted over 30% last week, erasing much of its recent gains fueled by speculation of an FTX comeback. 

    FTT price collapse | Source: Kaiko via X

    FTX Won’t Resume Operations

    The worrying drop follows reports that the bankrupt exchange, once led by Sam Bankman-Fried, is unlikely to resume operations. Notably, the news comes despite a glimmer of hope for FTX customers. 

    At a recent court hearing, the exchange’s representatives claimed it expects to repay its users fully. However, repayments would be based on the worth of their assets during FTX’s bankruptcy. 

    It should be noted that by the time FTX went bankrupt in late 2022, crypto assets were at the last phase of a bear market, with prices plunging to multi-month lows. Bitcoin, the world’s largest crypto asset, was trading below $20,000. After FTX collapsed, prices crashed below $16,000 before bouncing back strongly. 

    Following a court hearing in late January, FTX lawyer Andrew Dietderich, in a now-deleted YouTube video, said the exchange wouldn’t be looking to relaunch due to the absence of buyers. For this reason, the exchange is looking at allowing creditors to obtain approvals from investors seeking repayments. 

    Claimants impacted, given the new conditions and trajectory the exchange plans to take, have to provide sufficient proof that they held assets in FTX before it collapsed. 

    This new detail raises concerns for thousands, if not hundreds of thousands, of claimants, who argue that the actual value of their assets lies at the pre-crash level. On average, Bitcoin and top coins were roughly double digits higher than the November 2022 lows.

    FTT Is Free Falling, Reverses November Gains

    For the better part of 2023, FTT prices recovered steadily. To demonstrate, since November 2023, FTT prices have risen by over 300%. The encouraging surge was fueled solely by the possibility of FTX 2.0 launching and implementing a new management model. 

    With that hope fading, FTT appears to be facing a harsh reality check. Questions about its utility are being asked since FTT served as a critical cog in the FTX ecosystem when the exchange operated normally. 

    FTT price trending downward on the daily chart | Source: FTTUSDT on Binance, TradingView
    FTT price trending downward on the daily chart | Source: FTTUSDT on Binance, TradingView

    When writing on February 5, FTT changes hands at around $1.7. Looking at price charts, bears are in control, completely reversing the gains of November 2023. As it is, $0.95 remains to be a key support line. 

    Feature image from iStock, chart from TradingView

    Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.



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    Dalmas Ngetich

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  • FTX And IRS Lock Horns Over $24 Billion Tax Bill, FTT's Key Support Wavers

    FTX And IRS Lock Horns Over $24 Billion Tax Bill, FTT's Key Support Wavers

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    In a striking turn of events, the Internal Revenue Service (IRS) in the United States has presented a staggering tax bill of $24 billion against the bankrupt cryptocurrency exchange FTX. 

    FTX Challenges IRS’s $24 Billion Tax Bill

    According to court filings and FTX’s response to the IRS’s claims, several key arguments challenge the basis of the tax bill. Firstly, FTX highlights that its operations spanned three years, never distributing dividends or earnings. 

    Secondly, the exchange’s defense attorneys claim that the company incurred substantial losses rather than generating income that could support the IRS’s “exorbitant” tax claim. 

    Thirdly, the lawyers argue that FTX is currently in liquidation and is not engaged in any ongoing business activities apart from those required for the liquidation process. 

    Finally, the company emphasizes that the recovery sought by the IRS would ultimately come at the expense of FTX’s victims, as the funds would be redirected away from their rightful recipients. 

    As the court hearing approaches, FTX asserts that proceeding with a court-supervised estimation process would demonstrate the company’s significant losses during its operational period, rendering the IRS’s claim “baseless.” 

    FTX emphasizes that any forced payment would harm the victims of the FTX fraud, many of whom are already grappling with “profound losses.”

    FTX’s administrators have managed to recover approximately $7 billion in assets, including $3.4 billion in cryptocurrencies. These figures underscore the complex financial landscape surrounding the IRS’s claim against FTX.

    As the courtroom showdown ensues, the case outcome will undoubtedly have significant implications for the future of crypto taxation and the recovery prospects of FTX’s creditors. 

    FTT’s Bullish Trend Holds Strong

    As the cryptocurrency market experiences a significant correction following a bullish surge led by Bitcoin (BTC), FTX’s native token, FTT, has seen a decline of over 5% in the past 24 hours, adding to the company’s legal concerns.

    After a three-month accumulation phase that kept FTT trading in a range between $0.9 and $1.2 from September to the beginning of November, the token witnessed an impressive surge in the last month, reaching its highest price of the year at $6.042, a level not seen since November 2022.

    FTT’s loss of support at $5.1 on the daily chart. Source: FTTUSDT on TradingView.com

    However, the token has retraced to its current price mark of $4.8, with the next support level at $4.45 in case of further downward movement.

    On a positive note, FTT is trading above key moving averages, including the 200-day and 50-day MA, which provide support and indicate the potential for further upward price action.

    Furthermore, since the beginning of November, FTT has consistently recorded higher highs and higher lows, forming an uptrend pattern. This trend has been observed three times, with the token experiencing an uptrend, followed by a pullback for a support test, and then a continuation to reach new highs.

    Assuming this trend continues and the legal developments do not have a significant impact on the price of the token, FTT may be poised for a significant rise in the coming months, given the remarkable uptrend pattern seen on the daily chart.

    Featured image from Shutterstock, chart from TradingView.com 

    Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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    Ronaldo Marquez

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  • From Crypto To Catch: Disgraced FTX Founder Turns To Trading Fish In Prison

    From Crypto To Catch: Disgraced FTX Founder Turns To Trading Fish In Prison

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    According to a report by Business Insider, Sam Bankman-Fried (SBF), co-founder and former CEO of FTX, has adapted to the economic system of New York’s Metropolitan Detention Center (MDC), where he is currently awaiting sentencing on multiple felony counts. 

    The disgraced crypto-billionaire has reportedly been bartering, using food as currency in exchange for various services within the prison.

    Former FTX CEO SBF Trades Fish For Services

    Per the report, mackerel, a fish commonly referred to as “macks” among inmates, emerged as the currency of choice in federal prisons after cigarettes were banned. The fish’s popularity stems from its stability and value within the prison economy. 

    Formerly incarcerated individuals like attorney Larry Levin have accepted mackerel as payment from fellow prisoners, using it to acquire services such as beard trims and shoe shines. 

    The demand for mackerel became so significant that suppliers, including Global Source Marketing, witnessed increased sales, according to Business Insider.

    In a prison environment where inmates lack access to traditional or digital currency, products with steady value, such as certain food items and stamps, serve as substitutes for money. 

    Mackerel and other stable commodities like tuna become a means of exchange, with their value pegged to the dollar. This economic logic allows inmates to engage in various transactions while maintaining a semblance of a barter system.

    The use of fish as a medium of exchange in federal prisons has been widespread since 2004, following the cigarette ban. 

    Sam Bankman-Fried faces sentencing on March 28, 2024, for charges that include wire fraud and conspiracy to commit money laundering, with a potential prison term of up to 110 years. Additionally, SBF is set to stand trial for separate counts related to political bribery.

     FTT Surges with Impressive Gains

    FTT, the native token of the FTX cryptocurrency exchange, has seen a remarkable surge in value in recent weeks. With substantial gains across various timeframes and an impressive market capitalization of 1.5 billion, FTT has cemented its position among the top 50 tokens in the crypto market. 

    Over the past 24 hours, FTT has experienced a significant increase of 21%, showcasing the token’s upward momentum. This short-term surge is complemented by a strong performance over the past week, with a notable rise of 26%. 

    FTT’s uptrend over the past month on the 4-hour chart. Source: FTTUSDT on TradingView.com

    However, the real standout lies in FTT’s gains over the past 14 and 30 days. Within the last two weeks, FTT has skyrocketed by an impressive 100%, while the 30-day timeframe has seen an astounding surge of 315%. 

    These gains highlight the growing demand and investor interest in FTT as rumors of a possible reboot of the exchange circulate within the crypto community.

    Featured image from Bloomberg, chart from TradingView.com 

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    Ronaldo Marquez

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  • FTX’s FTT Token Leads Market Gains With 55% Rally, What’s Driving It?

    FTX’s FTT Token Leads Market Gains With 55% Rally, What’s Driving It?

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    The utility token of the defunct crypto exchange FTX, FTT is one of the top gainers in the last few days, rising 55% in just 48 hours alone. This has led to speculations as to what may be driving the token’s rally. One of them relates to a recent event in the crypto industry. 

    FTT Token’s Recent Rally Propelled By Binance News

    In a post on its X (formerly Twitter) platform, the market intelligence platform Santiment noted that the second rally for FTT came after the Binance news. The world’s largest crypto exchange and its former CEO Changpeng “CZ” Zhao had both pleaded to criminal charges and agreed to a settlement of over $4 billion in fines.

    As to the correlation between both events, Binance and FTX have always been closely knitted in several regards. For one, CZ, in particular, has sometimes been credited for being responsible for FTX’s collapse. Prior to the bank run on FTX, the former executive had made a tweet about his company liquidating their FTT holdings. 

    As such, it is believed that Binance, going through this difficult phase, comes off as bullish for the FTT token because of the animosity that the FTX and Binance ecosystem share. Interestingly, while FTT has continued to rally, Binance’s BNB has suffered an inverse fate. BNB is down by over 6% in the last seven days, according to data from CoinMarketCap. 

    Sam Bankman-Fried’s Conviction Also Contributed

    It is worth mentioning that the FTT rally didn’t just kickstart on the back of the Binance news. FTT’s market value is reported to be about 255% up against Bitcoin in the past 3 weeks. This resurgence began just after the 10 largest wallets began accumulating, with $12.8 million worth of FTT bought by these whales since November 3.

    Interestingly, November 3 happens to be a day after FTX’s former CEO Sam Bankman-Fried (SBF), was convicted. The FTX founder was convicted of all seven charges leveled against him. Going by this, it would seem that his conviction was conceived as bullish for these whales who decided to double down on their FTT holdings. 

    Another factor that might also be contributing to the token’s resurgence is the talks about FTX making a comeback. The defunct crypto exchange is reported to have suitors who are interested in rebooting it. The Chair of the Securities and Exchange Commission (SEC), Gary Gensler, had also noted that it was a possibility as far as the rules and guidelines are abided by.

    At the time of writing, FTT is currently trading at around $4.50, up over 21% in the last 24 hours and up by over 336% in the past month, according to data from CoinMarketCap.

    FTT tops list of gainers | Source: FTTUSDT on Tradingview.com

    Featured image from IQ.Wiki, chart from Tradingview.com

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    Scott Matherson

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  • FTX Ramps Up Restitution Efforts, Subpoenas AI Firm CAIS Over $6.5M Investment

    FTX Ramps Up Restitution Efforts, Subpoenas AI Firm CAIS Over $6.5M Investment

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    Bankrupt crypto exchange FTX, led by newly appointed CEO John Ray III, has embarked on an intensive legal campaign to regain control and recover assets in its pursuit of financial restitution. 

    As founder Sam Bankman-Fried awaits possible conviction and faces a staggering 114 years in prison if found guilty, FTX’s asset recovery plan continues under Ray’s leadership. 

    FTX Bankruptcy Battle Escalates

    In a recent filing with the US Bankruptcy Court for the District of Delaware, FTX issued a subpoena to the artificial intelligence (AI) firm Center for AI Safety (CAIS), demanding accounting records and information regarding payments, agreements, and contracts related to the $6.5 million investment.

    The motion, filed on behalf of the debtors who sought Chapter 11 bankruptcy protection on November 11 and November 14, 2022, states that the Debtors are operating their businesses and managing their properties as debtors-in-possession under the Bankruptcy Code. 

    It also highlights the appointment of an Official Committee of Unsecured Creditors by the US Trustee. FTX’s investigations have revealed that CAIS received transfers totaling at least $6.5 million in debtors’ funds between May and September 2022. 

    As part of their ongoing efforts to understand the debtors’ financial landscape, transactions, and estate, FTX has requested CAIS to produce relevant documents and information related to payments, agreements, communications, and other pertinent details.

    Debtors Seek Answers

    According to the motion filed on October 25, despite the debtors’ attempts to engage in a cooperative dialogue and resolve the matter amicably, CAIS has rejected voluntary requests for accounting and failed to respond to formal correspondence. The filing reads: 

    The Debtors have attempted to engage in a cooperative meet and confer process to obtain information from the CAIS voluntarily. The Debtors have so far been unsuccessful. On a phone call on August 22, 2023, counsel for CAIS expressed unwillingness to make its records related to the transfers available to the Debtors. In emails between October 2-6, 2023, Debtors requested information concerning the amount of Debtor funds CAIS has spent, the amount of Debtor funds it has retained, and its financial condition. CAIS declined to provide that information. 

    The motion concludes by stating that notice of this action has been provided to relevant parties, including the US Trustee, the Committee’s counsel, the Securities and Exchange Commission, the Internal Revenue Service, the US Department of Justice, the US Attorney for the District of Delaware, and CAIS itself.

    FTX’s native token FTT is experiencing a correction after reaching a new 2023 high on the 4-hour chart. Source: FTTUSDT on TradingView.com

    FTX’s native token, FTT, is trading at $1.22, marking a return to the $1 level for the first time since November 2022. Although it has experienced a decline of over 5% in the past 24 hours, the token has exhibited noteworthy gains over the past seven days, amounting to a 17% upward trend. 

    The token’s value has diminished by more than 95% when considering the one-year timeframe.

    Featured image from Shutterstock, chart from TradingView.com 

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    Ronaldo Marquez

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  • Billionaire Changpeng Zhao’s Binance To Offload All Remaining FTT Tokens Of Sam Bankman-Fried’s FTX

    Billionaire Changpeng Zhao’s Binance To Offload All Remaining FTT Tokens Of Sam Bankman-Fried’s FTX

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    Changpeng Zhao, the billionaire cofounder and CEO of Binance, said on Sunday that his cryptocurrency exchange is selling all its remaining tokens of FTX, fellow billionaire Sam Bankman-Fried’s trading platform, that are worth about $580 million.

    Zhao wrote on Twitter that the decision to offload 23 million tokens, called FTT, was due to “recent revelations that have come to light,” without giving more details. He later added that it was “post-exit risk management, learning from Luna,” referring to the failed crypto coin, but stressed that the move was not against a competitor.

    Issued by Bahamas-based FTX, FTT tokens grant its holders a discount on trading fees and access to more features on the crypto derivatives trading platform. The cryptocurrency is worth nearly $3 billion over a 24-hour period as of Monday, data on Coingecko shows.

    The liquidation is part of Binance’s exit from FTX equity that started last year, when Binance received about $2.1 billion in Binance USD (the stablecoins issued by Binance) and FTT tokens, Zhao disclosed. The latest withdrawal of FTT coins will take a few months to be completed.

    Binance was aiming to “de-risk” its platform after seeing “alarming trends” in the balance sheet of companies tied to Bankman-Fried, according to a person close to Binance who asked not to be identified as the information is not public. Binance declined to comment.

    Last week, crypto-focused news site Coindesk reported that Alameda Research, the sister quantitative trading firm of FTX, is made up largely of FTT tokens. The claim was later refuted by Alameda Research CEO Caroline Ellison, who said the report failed to reflect another $10 billion worth of the firm’s assets and that it has taken hedges.

    Following Zhao’s announcements, Bankman-Fried wrote on Twitter that he respects what people have done to grow the crypto industry and pointed to Zhao. FTX didn’t immediately respond to a request for comments on Monday.

    Binance announced its strategic investment in FTX in 2019, shortly after the crypto derivatives exchange was founded in Hong Kong. A year later, Zhao told Forbes that Binance had given up its equity stake in FTX, saying it’s part of “a normal investment cycle” following FTX’s tremendous growth.

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    Zinnia Lee, Forbes Staff

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