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FTX hits some exchanges worse than others

Nov 23, 2022
Data: CryptoCompare/IntoTheBlock; Chart: Axios Visuals
Data: CryptoCompare/IntoTheBlock; Chart: Axios Visuals

FTX's collapse has hurt some of its centralized exchange brethren more than others, data from CryptoCompare shows.

Why it matters: Right after FTX's implosion, investors appeared to lose trust in all of crypto. Two weeks since, a more nuanced picture is emerging.

Of note: Binance, the world's largest crypto exchange and FTX's chief competitor, has become the biggest winner.

  • Though Binance suffered bitcoin outflows in the week after FTX's plunge, there has been a net inflow of about $1.12 billion since Nov. 8 — the date Binance and FTX announced their ill-fated deal that quickly fell apart.

Context: FTX did compete more directly with Binance than it did Kraken or Coinbase, as the Sam Bankman-Fried-led company operated largely outside of the U.S.

Of note: The data doesn't include other popular trading currencies, like ethereum, tether, or USDC.

  • Bitcoin is, however, still an important proxy: It is the most popular cryptocurrency by a long shot, and crypto investors tend to turn to it in times of volatility.
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