The day after the FTX platform hack, 196 million FTT tokens were added to the outstanding supply by the FTX deployment contract. No statement from FTX has been issued on this matter. As a result, cryptocurrency exchange platforms Binance and Huobi have both shut down the FTT repository.
FTTs came out of nowhere
Yesterday, Sunday 13 November, the day after the still-unsolved FTX and FTX.US ‘hack’, 196 million FTT tokens, worth $380 million at the time, were added to those already in circulation by the FTX token deployment contract. This constitutes the totality of the FTT tokens that were supposed to be provisionally maintained in the contract.
A totally anomalous issue of tokens, both in terms of the quantity deployed simultaneously and the date of their creation. Indeed, FTT tokens are normally supposed to be deployed in a piecemeal fashion at a certain rate, as Changpeng Zhao, the CEO of Binance, pointed out:
FTT contract deployers moved all remaining FTT supply worth $400 million, which should be unlocked in batches. Not too sure what’s going on.https://t.co/JBPd02xIRk
– CZ Binance (@cz_binance) November 13, 2022
“The FTT deployment contract transferred all remaining FTT stock worth $400 million, which should be released in batches. I’m not sure what’s going on. “
Given the anomalous nature of such a transaction and its possible impact on the market, cryptocurrency exchanges Binance and Huobi announced that they were halting FTT deposits on their platforms. Changpeng Zhao encouraged other exchanges to do the same in a since-deleted tweet.
At the time of writing, no statement has been issued by FTX on this matter.
As a result, the supply of FTT tokens in circulation is currently almost 359 million units. The FTT is currently trading at $1.5, up from over $22 a week ago.
