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FTX Token (FTT) up 15%, Here's Why

Tue, 06/27/2023 - 10:03
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Godfrey Benjamin
FTX exchange reignites hope for creditors, with FTT token jumping in tandem
FTX Token (FTT) up 15%, Here's Why
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FTX token (FTT), the native digital currency of the bankrupt FTX Derivatives Exchange, has recorded very impressive daily growth today. The FTT token soared by 15% in an apparent resurgence to peg its price at $1.31, as it is now making an apparent move to recover from the lows of the past month. It is at $0.7763.

FTT/USD 1D Chart
FTT/USD 1D Chart. Source: CoinMarketCap

FTX token trigger

The resurgence in the price of the FTX exchange native token stems from the latest revelation from the trading platform as part of its ongoing efforts to make good on its promise to refund customers' funds.

The exchange said it has been able to recover as much $7 billion in liquid assets out of the total of $8.7 billion it owes its creditors. This news is exciting for FTX users, as it shows there is light at the end of the tunnel as relates to the recovery of their locked funds.

FTX: Anthony Scaramucci Weighs in on Exchange's Uncertain Future

The bankruptcy of FTX was the straw that broke the camel's back in a series of implosions that rocked the industry from last year to early January. The collapse of FTX fueled the narrative that centralized exchanges are unsafe for crypto investors, with the clamor for self-custody taking center stage.

Possibility of reboot

Since John Ray III took over FTX from Sam Bankman-Fried, the focus of the trading platform has been well defined: to return as much of users' funds as you can and reboot the platform if possible.

FTX is making a proactive move to regain the trust of its customers just in case it relaunches the platform as envisaged. One of the ways it can guarantee support is the refund of users' funds. Overall, the FTT token appears to be the visible beneficiary today, and it is up 37% in the past week.

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About the author

Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was birthed when, as a former banker, he discovered the obvious advantages of decentralized money over traditional payments. With his vast experience covering various aspects of Web3, Godfrey's articles has been featured on, Cryptonews and Coingape, among others.