BitDAO Community May Dump 3.3 Mln FTX Token (FTT), Here’s Why
Crypto alternate Bybit’s native token BitDAO (BIT) plummeted 20% instantly on Tuesday. Ben Zhou, the co-founder of crypto alternate Bybit, believes that Alameda Analysis dumped BIT tokens and breached the dedication to keep away from promoting one another tokens for not less than 3 years. The neighborhood might dump 3,362,315 FTT tokens if Alameda doesn’t give proof inside 24 hours.
Alameda Breached Dedication and Dumped BIT Tokens
The BitDAO neighborhood issued an emergency proposal on November 8 searching for Alameda Analysis to share the on-chain tackle of BIT tokens saved as a part of the 3-year mutual dedication. The transfer got here after Bybit co-founder Ben Zhou blamed Alameda for promoting BitDAO (BIT) tokens.
“Bitdao neighborhood is questioning the sudden dump of $bit token brought on by Alameda dumping and breaching the three yr mutual no sale public dedication. Nothing is confirmed however bitdao neighborhood wish to affirm a proof of fund from Alameda.“
Bybit’s alternate token BIT instantly plummeted by 20% in an hour as we speak. Alameda Analysis acquired 100 million BIT in 2021 and despatched it to an FTX alternate tackle. In the meantime, BitDAO neighborhood has 3,362,315 FTT tokens within the BitDAO Treasury. Each events dedicated to not promote tokens inside 3 years. If Alameda offered the tokens, they may obtain solely $30 million.
Nonetheless, Alameda CEO Caroline Ellison replied that the agency was not behind the dump. She additionally promised to share the proof with Bybit co-founder Ben Zhou.
Lookonchain tweeted that on-chain information point out Alameda transferred 4,637,839 BIT value $1.6 million to FTX 3 hours in the past. FTX pockets presently holds 97 million BIT within the FTX scorching pockets, which is lower than the 100 million dedicated by Alameda Analysis.
FTX Token (FTT) and BitDAO (BIT) Plummet 20%
FTX Token (FTT) fell over 22% within the final 24 hours as whales and traders appear to be promoting their holdings. Binance CEO “CZ” earlier introduced promoting all FTT tokens within the subsequent few months. It has triggered a liquidity challenge on FTX, however founder Sam Bankman-Fried stated deposits and withdrawals are operating easily. FTT value dropped to a low of $15.56 as we speak.
BitDAO (BIT) value additionally plummet practically 20% to a low of $0.30. The token has now recovered from the low, however remains to be down 9% within the final 24 hours.