FTX's collapse: A timeline of how the crypto giant imploded
euronews.comOnce one of the largest cryptocurrency exchanges in the world before its monumental collapse two years ago, FTX said this week that nearly all of its customers will receive the money back that they are owed.
FTX said in a court filing in the United States late on Tuesday that it owes about $11.2 billion (€10.4 billion) to its creditors.
The exchange estimates that it has between $14.5 billion (€13.5 billion) and $16.3 billion (€15.1 billion) to distribute to them.
How did we get to this point? Here is a timeline of what led up to this week's announcement after an implosion at FTX kicked off what many had expected to become a "crypto winter".
November 2: Coindesk reports Alameda Reseach, Sam Bankman-Fried's cryptocurrency trading firm, holds a large amount of FTT, a token issued by FTX, suggesting the finances of the two are intertwined and Alameda faces a cash crunch. The report spooks participants in the crypto market.
November 6: Rival cryptocurrency exchange Binance announces that the firm plans to sell all its holdings in FTT. The price of FTT tanks.
November 8: Binance founder and CEO Changpeng Zhao said his company had signed a letter of intent to buy FTX because the smaller exchange was experiencing a "significant liquidity crunch". That deal would be contingent, however, on a look at the books at FTX.
The price for Bitcoin tumbles 13 per cent.
November 9: Cryptocurrency prices plunge and after getting a closer look at the finances of FTX, Binance retreated and said there would be no acquisition. "In the beginning, our hope was to be able to support FTX’s customers to provide liquidity, but the issues are beyond our control or ability to help," Binance said in a statement.
Bitcoin prices drop another 14 per cent.
November
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