At first glance, the matter of FTX decline looked like an unfortunate event that was driven by the ongoing bear market. However, the new evidence has brought to light some evidence that has put off many cryptocurrency proponents.
However, the remainder of the cryptocurrency community is now pitching in to deal with the ongoing disaster.
A well-known cryptocurrency exchange OKX operating out of Seychelles, has recently set up a $100 million fund to help the companies deal with liquidity issues. Another exchange for taking the same stance is Binance as a response to the cascading impact of the FTX exchange.
Scope of the Crypto Recovery Fund
Colin Wu has recently taken to Twitter to talk about the matter of the $100 million crypto recovery fund set up by OKX management.
The fund is going to help the cryptocurrency enterprises that hold accounts with FTX, and at the same time, the fund will also grant aid to the investors who wish to migrate from the Solana network.
His tweet also informed that exchanges like Binance and Huobi have also shown an interest in joining the cause. Meanwhile, OKX management has expressed that Alameda Research and FTX’s decline has created considerable losses.
Meanwhile, the crypto community is also dealing with a shortage of market makers. Under such circumstances, the chances for pump and dump schemes have increased by many folds.
It seems that more cryptocurrency market players are waking up to the importance of cooperation under the current circumstances. Tron blockchain founder Justin Sun has claimed that such time is ideal for the industry leaders of crypto to pitch in and show their support by joining the Binance recovery fund.
It is worth noting that Binance has announced setting up a recovery fund for the affected cryptocurrency organizations that were caught up in the FTX fiasco.
Some of the major cryptocurrency exchanges, such as Poloniex and Huobi Global, have already shown an interest in onboarding Binance’s initiative.
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