The investors of the FTX Token (FTT), a token powered by the FTX exchange are to face yet another major decline in value. Several firms owned by or linked with FTX are still shutting down.
FTX has proven to be a major calamity for the cryptocurrency industry in the year 2022. Its impact is huge and as per many analysts, it is very contagious.
This means that its impact would continue increasing throughout the cryptocurrency industry and more companies would continue closing their business.
Another Firm Bites the Dust
After the crash of FTX, another major cryptocurrency trading platform owned by FTX has announced the suspension of its operations.
The platform announced on November 20 via Twitter that it has suspended all of its trading operations involving cryptocurrencies. The firm will no longer offer cryptocurrency trading services to users.
Liquid is a cryptocurrency trading platform that is directly owned by FTX Trading Group. As FTX has resorted to filing bankruptcy, Liquid has to comply with the mother company’s decision.
In accordance with the bankruptcy rules and regulations, Liquid is no longer permitted to perform cryptocurrency trades.
The FTX exchange has recently filed Chapter 11 Bankruptcy and it has done it at the Delaware court.
According to Liquid’s announcement, they are currently going through the assessment process and want to know what the situation is.
They have promised to keep the investors informed and update them on the matter. Their aim is to provide as much information and updates to the users as possible so they do not feel deserted.
It is just five days after the FTX exchange suspended access to withdrawals for all of the users. Several countries have already started to take action against the FTX subsidiaries operating in their jurisdictions.
The reports came in to confirm that Japan and Australia have already asked the FTX subsidiaries in the respective countries to pause their operations right away.
The problem for Voyager Digital
Previously, Voyager Digital had filed for bankruptcy following the Terra network crash. When it came to selling the assets held by Voyager Digital, FTX claimed that it would buy its assets and won the bid.
However, the exchange itself is now troubled and has to deal with bankruptcy. This is a major upset for Voyager Digital investors who thought they would finally get their funds back.
Amidst all the chaos and uncertainty, FTX Token (FTT) has started to take an even greater fall.
In the past 24 hours, crypto news website Bittribute.com reports that the trading price of FTT has dipped 0.51%. In the past 7-days, the trading price of FTT has dipped by 53%. At the time of writing, FTT is trading at a low of $1.29.
