November 23, 2022
Happy hump day, dear reader. Hope you're reading this from a car or plane, on your way to an atrociously large Thanksgiving dinner.
Situational awareness: Speaking of which, we're off for the rest of the week. See you on all on Monday.
1 big thing: FTX effect
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, Lucinda writes.
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.