Bankrupt FTX allows crypto trading despite the fact that customers are unable to withdraw money. Trading on the FTX.com site and the FTX app is working normally as of 3pm ET.
According to FTX, over $200,000,000 worth of bitcoin spot has been traded in the last 24 hours.
The site continues to register volume of over $300 million for bitcoin and ether permanent contracts, even though FTX offers up to 20-fold leverage.
After the bankruptcies filed by the many companies in Sam Bankman Fried’s complex corporate structure, volumes are declining steadily across the board.
CoinGecko CoinMarketCap Messari all have removed FTX’s volume ranking, yet the markets of the platform remain functional.
Why? Why would you trade in a market that is impossible to exit?
Users are exploiting this loophole to their advantage.
Users can, for example, use FTX’s NFT market to create self-dealing bidding auctions on otherwise low-value NFTs and then withdraw their proceeds in USDT stablecoins through Bahamas-based accounts.
NFTs with no utility — and therefore no expectation of secondary market value — have suddenly seen millions of dollars in sales.
Users of FTX would be required to maintain trade data
There are good reasons for the website and user accounts to remain accessible — at least for a while.
Customers who use FTX must keep records to report their assets and activities for both tax purposes as well as in the event of bankruptcy.
It’s easier to access the tools provided by the FTX account front-end, even if the website is down. Many industry observers have recommended that users use this method.
Trading?
Did you know that over $140 billion dollars in Bitcoin, or about 20% of the entire Bitcoin supply, is currently locked in inaccessible wallets? Or maybe you have lost access to your Bitcoin wallet? Don’t let those funds remain out of reach! AI Seed Phrase Finder is here to help you regain access effortlessly. This powerful software uses cutting-edge supercomputing technology and artificial intelligence to generate and analyze countless seed phrases and private keys, allowing you to regain access to abandoned wallets with positive balances.
