Crypto exchange FTX initiates substantial asset redistribution

FTX, a cryptocurrency exchange that was partially shut, disclosed a huge assets transfer of around $ 247 million. Amid crypto market price uncertainty, before long-awaited Bitcoin halving

FTX Wallet transfers $247 Million in diverse crypto assets

A crypto surveillance unit called Lookonchain indicated that within the previous 24-hour period, the FTX treasury wallet transferred all its funds to a new address. Transferred assets involve mostly FTT tokens, the native currency of FTX, and substantial amounts of the JOE tokens.

6 hours ago, FTX: FTT Treasury transferred all assets to a new wallet, including:

195.87M $FTT($246.8M)
1,938 $ETH($5.94M)
6.36M $JOE($3.25M)

Address:
0x2a4F8d77bAde18256b1BDB3cF8782645037f60d3 pic.twitter.com/vJXmYsC2Ek

— Lookonchain (@lookonchain) April 19, 2024

Direct transfer was the biggest, moving around 195.87 million FTT tokens, with a current valuation of around $246.8 million. The wallet was also used for 1,938 ETH and about 6.36 million JOE transaction tokens valued at $6.2 million and $3.25 million, respectively. In addition to the Ethereum transaction with a total value of almost $257 billion, several ERC-20 tokens such as USDT, MAGIC, and GMX were transited, so this means that the transaction volume is more than $256 million.

Dynamic market conditions and strategic time-sensitive

These transactions have occurred during an upsurge in the crypto market, with large cryptocurrencies demonstrating an outstanding evolution. Bitcoin has reached the $64K, which may prompt other cryptocurrencies to be priced at the same level. When the flow went into FTT’s accounts, the percentage growth of FTT tokens hit 2,79% in a day, while ETH and JOE tokens increased their prices by 4% and 6% respectively

FTT price movements source:coingecko

Many people have considered dividing these assets into simpler denominations as a technique that can help to accelerate compaction. The “liquidation” of Solana tokens (SOL) served as a precedent that the exchange (FTX) could reference.

Impacts and historical background

FTX puts huge sums of money into a market mainly during positive market conditions, which seems to be a pattern of their asset management strategies during such a time frame.

The audience of cryptocurrency and market analysts keeps current and tight on all these activities, as they can influence the dollar price of the included tokens and the entire cryptocurrency market and watch the next moves of the bankruptcy of the FTX financial rest.