Binance and different prime crypto exchanges halted stablecoin deposits from the Solana (SOL) blockchain. The businesses launched an official assertion claiming that the measure will probably be short-term, but it surely may have dangerous implications for the SOL ecosystem.
Solana (SOL) trades at $13.5, with a 5% loss within the final 24 hours and a 3% loss within the earlier week. The cryptocurrency is recording important losses throughout all timeframes because of the current occasion surrounding FTX and the contagion impacting the crypto business.
Binance Halts Operations With Solana, Is This Blockchain In Hazard?
Binance, OKX, Bybit, and different prime crypto exchanges took an analogous measure. The platforms suspended operations with stablecoins USDC and USDT on Solana however failed to clarify their determination to the customers.
For instance, Binance posted the next message by way of its social networks and its official web site:
Fellow Binancians, Deposits of USDC (SOL) and USDT (SOL) have been quickly suspended till additional discover. Thanks in your help!
The crypto buying and selling venue didn’t specify when they’ll resume stablecoin operations with Solana. OKX took a stricter measure by absolutely delisting the digital belongings. Just like Binance, the trade saved its reasoning at the hours of darkness.
Throughout social media, customers have been speculating concerning the causes for this determination by crypto exchanges. Some consider the delisting is motivated by the collapse of FTX and its former CEO and founder Sam Bankman-Fried.
The previous FTX govt was a widely known Solana bull. The collapse of FTX may create unexpected penalties throughout crypto firms, tasks, and crypto ecosystems. The market believes current occasions may negatively affect SOL.
Bankman-Fried and different FTX traders have been thought to have amassed hundreds of thousands of {dollars} in SOL. The corporate is in the midst of its chapter course of. Due to this fact, there are expectations that the Chapter court docket may order the liquidation of any funds in Solana or different cryptocurrencies on this proceedings.
I’ll purchase as a lot SOL has you have got, proper now, at $3.
Promote me all you need.
Then go fuck off.
— SBF (@SBF_FTX) January 9, 2021
In that case, SOL’s value may face huge promoting strain. Something FTX-backed or linked to the failed crypto trade appears liable to following its path.
