Share this article
Binance Is Strongly Leaning Toward Scrapping FTX Rescue Takeover After First Glance at Books: Source
Backing out would be one more stunning development in the collapse of Sam Bankman-Fried’s crypto empire.
Updated Aug 16, 2023, 9:57 p.m. Published Nov 9, 2022, 3:32 p.m.
Make us preferred on Google
Cryptocurrency exchange giant Binance is highly unlikely to go through with its proposed acquisition of struggling rival FTX after less than a day of reviewing the company, according to a person familiar with the matter.
Read More: Crypto Exchanges Scramble to Compile 'Proof-of-Reserves' as FTX Contagion Grips Markets
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Binance’s nonbinding letter of intent for the takeover – announced Tuesday as FTX’s financial position appeared to be spiraling out of control – hinged on Binance performing due diligence. Roughly half a day into that process of reviewing FTX’s internal data and loan commitments has led Binance to strongly lean against completing the transaction, the person said.
Binance declined to comment on the current status of the proposed deal. FTX also declined to comment.
After CoinDesk released this story, losses in the cryptocurrency and U.S. stock market worsened. Bitcoin (BTC) revisited its 2022 low of around $17,100, and ether (ETH) returning to its post-Merge low of $1,160. The CoinDesk Market Index (CMI) recently was down 5.2% from 24 hours earlier. The S&P 500, the benchmark for American equities, fell to its low of the day.
Read More: Binance CEO Zhao Says Planned FTX Acquisition Is Not a 'Win for Us'
Backing out would be yet one more stunning step in a week of drama. CoinDesk a week ago published a scoop about the balance sheet of Alameda Research, the corporate sibling of FTX. The story prompted concerns about the financial stability of Sam Bankman-Fried’s crypto empire, which includes both companies, leading to a liquidity crunch at FTX – a situation exacerbated Sunday when Binance CEO Changpeng Zhao said he would sell his holdings of the FTT cryptocurrency issued by FTX.
Binance then struck the deal after FTX had sought help from and was turned down by other large exchanges, Coinbase and OKX, according to people familiar with the matter.
UPDATE (Nov. 9, 15:43 UTC): Adds in third paragraph that FTX declined to comment.
UPDATE (Nov. 9, 15:49 UTC): Adds in fourth paragraph that losses in the crypto market worsened after this story was published.
UPDATE (Nov. 9, 16:01 UTC): Adds in fourth paragraph that the S&P 500 fell to its low of the day.
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
Stablecoins moved $35 trillion last year but only 1% of it was for 'real world' payments
While stablecoins settled around $35 trillion last year, only around 1% of that represented genuine payments like remittances and payroll, a new report found.
What to know:
- Stablecoins processed more than $35 trillion in transactions last year, but only about 1% of that reflected real-world payments, a report by McKinsey and Artemis Analytics found.
- The study estimated that roughly $390 billion in genuine stablecoin payments, such as vendor payments, payrolls, remittances and capital markets settlements.
- Despite rapid growth and increasing interest from traditional payment firms like Visa and Stripe, true stablecoin payments still account for just a tiny fraction of the more than $2 quadrillion global payments market, the report said.
Top Stories
