{"id":579622,"date":"2022-11-09T15:56:59","date_gmt":"2022-11-09T15:56:59","guid":{"rendered":"https:\/\/en.ethereumworldnews.com\/?p=579622"},"modified":"2022-11-09T16:49:56","modified_gmt":"2022-11-09T16:49:56","slug":"binance-might-not-buy-ftx","status":"publish","type":"post","link":"https:\/\/en.ethereumworldnews.com\/binance-might-not-buy-ftx\/","title":{"rendered":"Binance Might Not Buy FTX After Reviewing The Exchange&#8217;s Balance Sheet: CoinDesk"},"content":{"rendered":"\n<p>Summary:<\/p>\n\n\n\n<ul>\n<li>Changpeng Zhao&#8217;s Binance may pull out of the deal to buy FTX, CoinDesk reported citing sources close to the matter.<\/li>\n\n\n\n<li>Zhao previously said the acquisition was &#8220;non-binding&#8221; and subject to due diligence.<\/li>\n\n\n\n<li>Sam Bankman-Fried sought help from silicon valley billionaires and other large exchanges before turning to CZ, per prior reports.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>A takeover <a href=\"https:\/\/en.ethereumworldnews.com\/ftx-binance-reach-strategic-agreement\/\" data-type=\"URL\" data-id=\"https:\/\/en.ethereumworldnews.com\/ftx-binance-reach-strategic-agreement\/\" target=\"_blank\" rel=\"noreferrer noopener\">deal<\/a> to bail out Sam Bankman-Fried\u2019s crypto exchange FTX might break down after the buyer, Changpeng Zhao\u2019s Binance, assessed SBF\u2019s platform and its holdings.&nbsp;<\/p>\n\n\n\n<p>A CoinDesk report <a href=\"https:\/\/twitter.com\/tier10k\/status\/1590366966317211651?s=20&amp;t=w-0qyTMK_bArJFHG63gzsA\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/twitter.com\/tier10k\/status\/1590366966317211651?s=20&amp;t=w-0qyTMK_bArJFHG63gzsA\" rel=\"noreferrer noopener nofollow\">said<\/a> the acquisition was \u201chighly unlikely\u201d following a due diligence review mentioned by CZ. Although the report cites persons close to the matter, details regarding FTX\u2019s internal data and coffers remain unavailable to the public.&nbsp;<\/p>\n\n\n\n<p>A note to Binance employees from Zhao himself also instructed minimal communication on the matter until more developments emerge.&nbsp; CZ said Binance had paused offloading its FTT bags for the meantime.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">In the spirit of transparency, might as well share the actual note, sent to all Binance team globally a few hours ago.<a href=\"https:\/\/t.co\/IUNkPcLC8T\" rel=\"nofollow\">https:\/\/t.co\/IUNkPcLC8T<\/a> <a href=\"https:\/\/t.co\/XGlIJB7EV5\" rel=\"nofollow\">pic.twitter.com\/XGlIJB7EV5<\/a><\/p>&mdash; CZ \ud83d\udd36 Binance (@cz_binance) <a href=\"https:\/\/twitter.com\/cz_binance\/status\/1590351182513729544?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">November 9, 2022<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<h2>Binance To Buy FTX<\/h2>\n\n\n\n<p>On Tuesday, CZ tweeted that Binance entered a &#8220;non-binding&#8221; agreement to tackle the liquidity crunch. Zhao noted that due diligence was required before bailing out Sam Bankman-Fried&#8217;s crypto exchange. With that in mind, Binance exiting the deal was a possibility.  <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">This afternoon, FTX asked for our help. There is a significant liquidity crunch. To protect users, we signed a non-binding LOI, intending to fully acquire <a href=\"https:\/\/t.co\/BGtFlCmLXB\" rel=\"nofollow\">https:\/\/t.co\/BGtFlCmLXB<\/a> and help cover the liquidity crunch. We will be conducting a full DD in the coming days.<\/p>&mdash; CZ \ud83d\udd36 Binance (@cz_binance) <a href=\"https:\/\/twitter.com\/cz_binance\/status\/1590013613586411520?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">November 8, 2022<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Analysts surmised that CZ&#8217;s Binance could command as much as 80% market share if the deal is finalized and the takeover executed. However, the alternate ending might be a big blow to SBF and his FTX crypto exchange. <\/p>\n\n\n\n<p>Sources said that SBF reached out to other crypto exchanges and billionaires in Silicon Valley before calling CZ for aid sometime on Tuesday.  This means Zhao&#8217;s Binance was possibly the only industry player able to save FTX from insolvency. <\/p>\n\n\n\n<p>Singaporean state-funded venture company Temasek also <a href=\"https:\/\/en.ethereumworldnews.com\/temasek-talks-ftx-binance-ftt-crash\/\" target=\"_blank\" data-type=\"URL\" data-id=\"https:\/\/en.ethereumworldnews.com\/temasek-talks-ftx-binance-ftt-crash\/\" rel=\"noreferrer noopener\">engaged<\/a> FTX in talks. Temasek along with other giant institutions like SoftBank and USDC issuer Circle invested in SBF&#8217;s exchange, The Block&#8217;s Frank Chaparro tweeted. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">FTX investors: <br><br>BlackRock<br>Ontario Pension Fund<br>Sequoia <br>Paradigm <br>Tiger Global<br>SoftBank<br>Circle<br>Ribbit<br>Alan Howard <br>Multicoin <br>VanEck<br>Temasek<\/p>&mdash; Frank Chaparro (@fintechfrank) <a href=\"https:\/\/twitter.com\/fintechfrank\/status\/1590145184020328448?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">November 9, 2022<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Circle&#8217;s CEO Jeremy Allaire dispelled speculation and clarified that the stablecoin issuer has &#8220;no material exposure&#8221; to SBF&#8217;s crypto exchange. Similarly, Tether (USDT) CTO tweeted a similar disclaimer claiming no exposure to FTX. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">2\/ Circle has no material exposure to FTX and Alameda.  FTX has been a customer of Circle Payment APIs for the past 18 months, providing card and ACH services for customer transactions.  Circle&#39;s crypto payments beta product uses FTX and other exchanges, for BTC\/ETH liquidity.<\/p>&mdash; Jeremy Allaire (@jerallaire) <a href=\"https:\/\/twitter.com\/jerallaire\/status\/1590232993133518850?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">November 9, 2022<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">To be clear: <a href=\"https:\/\/twitter.com\/hashtag\/Tether?src=hash&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">#Tether<\/a> does not have any exposure to FTX or Alameda. 0. Null.<br>Maybe is time to look elsewhere.<br>Sorry guys. Try again. <a href=\"https:\/\/t.co\/1bRNUGrttr\" rel=\"nofollow\">https:\/\/t.co\/1bRNUGrttr<\/a><\/p>&mdash; Paolo Ardoino \ud83c\udf50 (@paoloardoino) <a href=\"https:\/\/twitter.com\/paoloardoino\/status\/1590170667646795776?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">November 9, 2022<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>FTX bailout from Binance could fall through after Zhao&#8217;s team checked internal data at Sam&#8217;s company.<\/p>\n","protected":false},"author":55,"featured_media":579625,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[],"_links":{"self":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts\/579622"}],"collection":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/users\/55"}],"replies":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/comments?post=579622"}],"version-history":[{"count":4,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts\/579622\/revisions"}],"predecessor-version":[{"id":579642,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts\/579622\/revisions\/579642"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/media\/579625"}],"wp:attachment":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/media?parent=579622"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/categories?post=579622"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/tags?post=579622"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}