Coinbase Global Inc COIN and MicroStrategy Inc MSTR shares are trading lower again Wednesday on continued downward pressure. The crypto-linked stocks are lower amid concerns over the financial condition of cryptocurrency exchange FTX.
Speculation surrounding FTX started last week following reports that Bankman-Fried’s trading firm Alameda Research held a significant portion of its balance sheet in FTT, the native token of FTX. The crypto market has since grown concerned about FTX’s liquidity.
Reports surfaced Tuesday that FTX was halting withdrawals as it saw investors liquidate positions.
As investors were dissecting the news and impact from the selloff, the leaders of Binance and FTX made a surprising announcement.
“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 FTX.com and help cover the liquidity crunch. We will be conducting a full DD in the coming days,” Binance CEO Changpeng Zhao tweeted…Read More
According to data from Benzinga Pro:
COIN is trading lower by 4.58% to $48.50
MSTR is trading lower by 4.35% to $202.63
Image and article originally from www.benzinga.com. Read the original article here.