FTX Exchange, in Financial Crisis, Executes Solana Transfers: Warning Signs for SOL Token Holders Emerge!

FTX Conducts Solana (SOL) Transfers

On October 26, PeckShieldAlert reported a significant development involving FTX, a crypto exchange. An address linked to FTX on Solana, identified as cold storage, recently moved a substantial amount of assets — 470,000 SOL tokens worth $15 million. Notably, part of these funds found their way to centralized exchanges (CEX) such as Binance and Coinbase.

Simultaneously, another cold storage address associated with FTX on the Ethereum network transferred assets valued at $2.5 million. These assets included cryptocurrencies like COMP and RNDR and were sent to Wintermute, a prominent global algorithmic trading firm.

At the time of reporting, Wintermute Trading had received crypto transfers exceeding $10.49 million from addresses linked to FTX. These transfers comprised various assets like ETH, MKR, LINK, AAVE, COMP, and RNDR. A significant portion of these transfers was deposited into Wintermute’s custodial addresses through centralized exchanges such as Binance and Coinbase.

These deposit actions coincided with notable price surges observed in several cryptocurrencies, including ETH, SOL, LINK, and AAVE. SOL, in particular, experienced a surprising 4.30% increase in its value over the last 24 hours.

FTX Relaunches Crypto Venture

FTX faced bankruptcy the previous year due to a liquidity crisis related to its native token, FTT, creating a ripple effect in the crypto community. In the aftermath of this event, FTX, now insolvent, disclosed that it had moved all remaining funds to cold wallets to mitigate losses following a series of unauthorized transactions. Subsequently, the company took steps towards rejuvenating the exchange.

John J. Ray III, the newly appointed CEO of FTX, shared earlier this year that administrators managing the bankruptcy proposed a comprehensive plan to revive the exchange. FTX is diligently working towards presenting a concrete revival plan for the platform, expected to be finalized by December.

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