Data reveals that the current FTX reserve is $107 million, as stated in a research published by CryptoQuant, a company that specializes in blockchain analytics. In light of the fact that it had dropped by 93% in the preceding two weeks to reach $51 million, this represents substantial progress.
In addition, a different data analytics tool called Nansen found that, among the major exchanges, FTX saw the biggest stablecoin outflows over the course of the preceding week. As a direct consequence of this, the FTX reserve decreased to $300 million, with a remaining balance of $261 million at the time this article was written.
Alameda Research's fund movement, which withdrawn many stablecoins from Circle and other exchanges and dumped them in FTX, is fueling FTX's increasing reserve in the meantime. These stablecoins were withdrawn from Circle. Alameda is another company that Sam Bankman-Fried owns, just like FTX.
According to information obtained by Lookonchain, Alameda moved USDC worth $487 million from Circle and transferred it to the FTX market on November 3. This transaction took place on November 3.
In addition, as a direct response to the statements made by Circle's Chief Executive Officer Caroline Ellison, Alameda Research withdrew more than $197 million USDC from the company. According to reports, the CEO of the company stated that the company is prepared to purchase Binance's FTT at a price of $22 per share.
According to the findings of CryptoQuant, the amount of Ethereum being sent to FTX has reached an all-time high. As a result, the company's current reserve on the FTX platform dropped to 108,246.43 ETH, which is its lowest level in the past two years.
Influencers in the cryptocurrency space have called for large-scale withdrawals from FTX.
As a result of the recent decrease in the stablecoin reserve held by FTX, a number of crypto celebrities have begun encouraging their followers to remove their assets from the problematic exchange. Ran Neuner, who started the crypto banter group, is considered to be one of the organization's most prominent members.
The well-known influencer took to his Twitter account to issue a call to action to his followers, pushing them to make the most of the opportunity to reposition their assets. According to him, he does not have anything against FTX; yet, he does not see any "upside" in maintaining funds in problematic exchanges.
As was to be expected, a number of traders responded favorably to the invitation extended by influential users of the FTX platform to remove their funds from the exchange. On the other hand, the traders mentioned that the movement of their assets is not without its difficulties. It is interesting to note that some traders have mentioned the fact that the exchange levied additional transaction costs against them in order to process their withdrawals.
"people should consider closing their FTX accounts, not because they have become illiquid," said Ben Armstrong, one of the crypto influencers. "people should consider closing their FTX accounts," Instead, he is under the impression that the FTX is trying to hurt traders as part of its comeback strategy following the most recent loss.
In the midst of the chaos, the Chief Executive Officer of FTX, Sam Bankman-Fried, maintains that the exchange is operating normally. In his statement on Twitter, Bankman-Fried disproves the rumors that the exchange is experiencing a problem and adds that everything is going swimmingly with FTX.
The entrepreneur went on to say that FTX's platform has already handled transactions totaling billions of dollars, both in terms of deposits and withdrawals. He mentioned that once the commotion dies down, the exchange will be ready to accept customers who had previously panicked and withdrawn their money.
