Sam Bankman Fried Confirms FTX Buyout Deal, Thanks CZ For Help

Following all of the rumors surrounding the cryptocurrency exchanges Binance and FTX, Binance CEO Changpeng Zhao (CZ) confirmed that his company is planning to buy its rival FTX. According to CZ, he was told by FTX officials that there’s a severe liquidity crunch and a need for immediate assistance.

A few minutes after CZ’s announcement, FTX CEO Sam Bankman-Fried, confirmed that the deal would go through.

1) Hey all: I have a few announcements to make.

Things have come full circle, and https://t.co/DWPOotRHcX’s first, and last, investors are the same: we have come to an agreement on a strategic transaction with Binance for https://t.co/DWPOotRHcX (pending DD etc.).

— SBF (@SBF_FTX) November 8, 2022

He further went on to add that, teams back at FTX offices were working on clearing out the withdrawal backlog which would finally clear out liquidity crunches. And, all assets would be covered 1:1. He cited that, this was one of the main reasons they had asked for Binance’s help.

Even though the two bosses were entangled in a bitter war of words a few days back on Twitter, SBF went on to thank CZ. He further tweeted,

“CZ has done, and will continue to do, an incredible job of building out the global crypto ecosystem, and creating a freer economic world.”

However, it remains unknown, as to why SBF earlier claimed “FTX is fine” and that “assets are fine”.

1) A competitor is trying to go after us with false rumors.

FTX is fine. Assets are fine.

Details:

— SBF (@SBF_FTX) November 7, 2022

Whether it was for controlling panic selling or outright hiding facts from the public — this would go down as the second biggest crypto debacle, following the Terra LUNA de-peg in recent times.