‘Stay Away’ – Binance CEO Issues Serious Warning About Another Crypto Exchange After FTX’s Collapse Sends Bitcoin and Ethereum Prices Down



Ethereum and other major cryptocurrencies plummeted this week due to the staggering collapse of crypto exchange FTX—with the “horror story” which may have only just begun.

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The price of bitcoin has fallen to levels not seen in two years, wiping out all of its Covid-era gains and wiping over $200 billion from the combined price of bitcoin, ethereum and others (although JPMorgan made a big bet on crypto).

Now, the managing director of the world’s largest bitcoin and crypto exchange, Binance, Changpeng “CZ” Zhao, has said that the fallout from FTX may be about to hit another crypto exchange, warning of a ” clear sign[s] of problems.”

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“If an exchange [has] moving large amounts of crypto before or after demonstrating their wallet addresses is a clear sign of trouble,” CZ job to Twitter following Crypto.com’s accidental transfer of more than 300,000 ethereum, worth $360 million, off its exchange. “Stay away.”

Explaining the late October move to crypto exchange Gate.io, Crypto.com chief executive Kris Marszalek said the error had been rectified and new processes would prevent it from happening again.

“It was supposed to be a move to a new cold storage address, but it was sent to a whitelisted external exchange address,” Marszalek said. job to Twitter. “We worked with the Gate team and the funds were then returned to our cold storage. New processes and features were implemented to prevent this from happening again.”

Following the collapse of FTX this week, crypto exchanges have come under pressure to reassure users and investors that they have the funds to match customer deposits.

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Crypto.com has joined others in saying it will release audited proof of reserves. “We share the belief that it should be necessary for crypto platforms to publicly share proof of reservations and Crypto.com will publish our audited proof of reservations,” Marszalek job Thursday.

The price of Crypto.com’s crypto exchange cro, designed to facilitate the flow of funds on the platform, has crashed by around 50% in the past week.

Liquidity Concerns Over FTX’s Own Cryptocurrency Exchange Triggered a bank run situation last weekend after Binance’s CZ announced plans to offload some $500 million from FTT. FTX founder Sam Bankman-Fried, who has now stepped down as chief executive, said the exchange was hit by $6 billion in withdrawal requests in a single day.

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