SBF says ‘FTX is fine. Assets are fine’ with over $1B in excess cash amid rumors of liquidity crunch News ▸ Binance ▸ FTX ▸ Bear Market
SBF says ‘FTX is fine. Assets are fine’ with over $1B in excess cash amid rumors of liquidity crunch
The tweet threat appears to be a response to rumors and speculation of liquidity issues at FTX and Alameda Research, which may have led to Binance's decision to sell its FTT.
2 min read
Updated: Oct. 17, 2023 at 10:35 am UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
FTX CEO Sam ‘SBF’ Bankman-Fried has taken to Twitter to call out a “competitor” for “trying to go after us” and reassured the industry that despite the attempt, “FTX is fine. Assets are fine.”
2) FTX has enough to cover all client holdings.
We don't invest client assets (even in treasuries).
We have been processing all withdrawals, and will continue to be.
Some details on withdrawal speed: https://t.co/tSjhJW3JlI
(banks and nodes can be slow)
— SBF (@SBF_FTX) November 7, 2022
The tweet threat appears to be a response to rumors and speculation of liquidity issues at FTX and Alameda Research. The rumors may have played a role in Binance’s recent decision to liquidate its $500 million in FTT tokens over the weekend.
SBF expanded further by claiming that FTX “has enough to cover all client holdings” and will continue to process all withdrawals. He closed his thread with the following statement, implying that the aforementioned “competitor” could be Binance:
4) I'd love it, @cz_binance, if we could work together for the ecosystem.
— SBF (@SBF_FTX) November 7, 2022
CZ had posted over the weekend that he planned to liquidate Binance’s FTT tokens due to “recent revelations that have come [sic] to light” but wanted to make sure the “market impact” is minimal.
Cope, a content creator at The Block, responded to SBF with an image of a meme showing a house on fire alongside the caption, “FTX is fine,” as a prime example of the community’s view on SBF’s statement.
Interestingly, most of the conversation around liquidity issues focused on Alameda Research rather than FTX. SBF’s recent statement did not reference Alameda, instead focusing on ensuring the crypto community received the message that “FTX is fine.”
Questions of Alameda’s solvency status may continue until further evidence is presented to showcase that the company has sufficient assets to support its loans should the FTT token continue to fall in price.
The value of the FTT token continued to fall going into the U.S. market open on Nov. 7, hitting $22 in the early hours. The token price recovered on Nov. 6 following Ellison’s bullish statement that Alameda could buy all of Binance’s FTT tokens at $22. However, any recovery has since been thwarted as the price struggles to hold $22.
As of press time, CZ has not publicly commented on SBF’s statement.
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Author 
Liam 'Akiba' Wright
Also known as "Akiba," Liam Wright is a reporter, podcast producer, and Editor-in-Chief at CryptoSlate. He believes that decentralized technology has the potential to make widespread positive change.
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In this article
FTX is a cryptocurrency derivatives exchange that offers futures, leveraged tokens and OTC trading.
FTX
FTX is a defunct cryptocurrency exchange, currently in bankruptcy proceedings, that was founded by Sam Bankman-Fried and Zixiao “Gary” Wang in May 2019.
Alameda Research
Alameda Research was once a principal trading firm, operating as an arm of the failed crypto exchange, FTX.
Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
Sam Bankman-Fried is the former CEO, and co-founder of defunct crypto exchange FTX and Alameda Research.
Changpeng Zhao, popularly known as “CZ,” is a notable figure in the cryptocurrency world, primarily for founding and leading Binance, the world’s leading cryptocurrency exchange by trading volume.