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This would (probably) be a mistake on CZ's part. Taking on FTX's customers would undoubtedly bring him more goodwill than letting its customers go down with th
by djaouen 4y ago
This would (probably) be a mistake on CZ's part. Taking on FTX's customers would undoubtedly bring him more goodwill than letting its customers go down with the ship.
- DistantCl3ric 4y agoFTX customers have likely fled (those that can / could withdraw) to Binance already.
- coffeebeqn 4y agoI mean there’s goodwill but there’s also the terrible-and-getting-worse crypto industry trend. He might need to keep that cash on hand.
- djaouen 4y agoI mean, unless the whole thing is FUBARed, in which case, he should probably get out of crypto entirely before the whole thing crashes. But I tend to lean on the optimist side of things. :)
- colinmhayes 4y agoBinance has already taken on FTX's customers/
- dibt 4y agoWe (the public) don't yet know how bad it is. CEO of Coinbase, Brian Armstrong said he was also not interested in an acquisition after a small amount of DD. He said we will likely find out how bad it is eventually.
- Scoundreller 4y ago> not interested in an acquisition after a small amount of DD Sounds like liabilities exceeded assets
- FormerBandmate 4y agoJudging by the Alameda leaked balance sheet, a huge part of assets and probably more than 100% of equity was in FTT which is now essentially worthless
- paulusthe 4y agoIf we had one for binance, it would show a ridiculous amount of tether and other coins which they probably own a majority of, meaning their balance sheet is similarly comprised of assets they can't actually price or expect to be able to sell at market value
- carnitine 4y agoTether can be liquidated via the Tether Foundation.
- maxbond 4y agoAnd surely the buck stops with the Tether Foundation, who stand ready to cash Binance out, and they won't need to dump a bunch of risky assets and possibly not net enough to meet Binance's needs
- snapcaster 4y agoHow do you know this? was googling around but didn't find much of anything
- deleted 4y ago[deleted]
- potatototoo99 4y ago6bn$ is a steep price for goodwill.
- seydor 4y agoWhy? Maybe it's a different subset of crypto users who did not want to go with binance in the first place, and are not likely to stay in binance for whatever reasons. And it's not like binance is running out of customers
- paulusthe 4y agoI'm not sure they have a choice. Binance is leveraged to the max with tether already; they likely can't afford to pay FTX real-world currency for the purchase. They'd have to offer tether or other vaporcoins as payment, at which point FTX might as well just keep its vaporcoins instead
- LegitShady 4y agomaybe they'd rather keep $6b on the balance sheet rather than burn it to goodwill that won't keep them solvent?
- moralestapia 4y agoWtf, why? Binance is not liable for FTX's customers.
- partiallypro 4y agoNot if the liabilities taken on would cause financial stress on FTX with FTX itself is not doing as hot due to the collapse in crypto assets.