What Is The Current Price Of The FTX Token (FTT)?

FTT FTT/USD, the native token of cryptocurrency exchange FTX, is facing significant selling pressure Tuesday after Binance CEO Changpeng Zhao said he would offload his FTT holdings on FTX.

What To Know: FTT is down 18.97% over a 24-hour period at $18.47. A year ago, FTT was trading above $60.

Speculation surrounding FTX started last week following reports that a significant portion of Alameda Research's balance sheet consisted of FTT. Alameda is FTX CEO Sam Bankman-Fried's trading firm.

The crypto market has since grown concerned about FTX's liquidity. Zhao noted that he planned to liquidate his holdings over "recent revelations that have come to light," saying he wouldn't support people who "lobby" against other industry players behind their backs.

Related Link: Binance To Dump All Holdings Of Bankman-Fried's FTX Tokens: 'Won't Pretend To Make Love After Divorce'

Why It Matters: In a turn of events Tuesday, Binance agreed to buy FTX. 

"Things have come full circle, and FTX.com's first, and last, investors are the same: we have come to an agreement on a strategic transaction with Binance for FTX.com (pending DD etc.)," Bankman-Fried said via tweet.

The Binance CEO also took to Twitter to confirm the deal, noting the two exchanges signed a non-binding letter of intent.

"This afternoon, FTX asked for our help. There is a significant liquidity crunch. To protect users, we signed a non-binding LOI, intending to fully acquire FTX.com and help cover the liquidity crunch. We will be conducting a full DD in the coming days," Zhao said via tweet.

$FTT Price Action: The FTT token was trading below $15 ahead of Tuesday's takeover announcement. The crypto market is recovering alongside FTX's native token. 

FTT was down 18.97% over a 24-hour period at $18.47 at time of publication.

Related Link: Binance To Acquire FTX.com As It Faces 'Liquidity Crunch': Here Are The Early Details

Photo: Matthias Wewering from Pixabay.