Crypto exchange Bybit’s native token BitDAO (BIT) plummeted 20% immediately on Tuesday. Ben Zhou, the co-founder of crypto change Bybit, believes that Alameda Research dumped BIT tokens and breached the dedication to keep away from promoting one another tokens for at the very least 3 years. The neighborhood might dump 3,362,315 FTT tokens if Alameda doesn’t give proof inside 24 hours.
Alameda Breached Commitment and Dumped BIT Tokens
The BitDAO neighborhood issued an emergency proposal on November 8 searching for Alameda Research to share the on-chain tackle of BIT tokens saved as a part of the 3-year mutual dedication. The transfer got here after Bybit co-founder Ben Zhou blamed Alameda for promoting BitDAO (BIT) tokens.
“Bitdao neighborhood is questioning the sudden dump of $bit token attributable to Alameda dumping and breaching the three yr mutual no sale public dedication. Nothing is confirmed however bitdao neighborhood want to affirm a proof of fund from Alameda.“
Bybit’s change token BIT immediately plummeted by 20% in an hour as we speak. Alameda Research obtained 100 million BIT in 2021 and despatched it to an FTX change tackle. Meanwhile, BitDAO neighborhood has 3,362,315 FTT tokens within the BitDAO Treasury. Both events dedicated to not promote tokens inside 3 years. If Alameda offered the tokens, they’ll obtain solely $30 million.
However, Alameda CEO Caroline Ellison replied that the agency was not behind the dump. She additionally promised to share the proof with Bybit co-founder Ben Zhou.
Lookonchain tweeted that on-chain knowledge point out Alameda transferred 4,637,839 BIT value $1.6 million to FTX 3 hours in the past. FTX pockets at present holds 97 million BIT within the FTX scorching pockets, which is lower than the 100 million dedicated by Alameda Research.
FTX Token (FTT) and BitDAO (BIT) Plummet 20%
FTX Token (FTT) fell over 22% within the final 24 hours as whales and traders appear to be promoting their holdings. Binance CEO “CZ” earlier announced promoting all FTT tokens within the subsequent few months. It has triggered a liquidity subject on FTX, however founder Sam Bankman-Fried said deposits and withdrawals are working easily. FTT value dropped to a low of $15.56 as we speak.
BitDAO (BIT) value additionally plummet practically 20% to a low of $0.30. The token has now recovered from the low, however remains to be down 9% within the final 24 hours.
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