Binance and different high crypto exchanges halted stablecoin deposits from the Solana (SOL) blockchain. The businesses launched an official statement claiming that the measure will likely be momentary, but it surely might 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 vital losses throughout all timeframes as a result of 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 high crypto exchanges took an analogous measure. The platforms suspended operations with stablecoins USDC and USDT on Solana however failed to elucidate 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 briefly suspended till additional discover. Thanks in your assist!
The crypto buying and selling venue didn’t specify when they are going to resume stablecoin operations with Solana. OKX took a stricter measure by totally delisting the digital belongings. Much like Binance, the trade stored its reasoning at the hours of darkness.
Throughout social media, customers have been speculating concerning the causes for this determination by crypto exchanges. Some imagine the delisting is motivated by the collapse of FTX and its former CEO and founder Sam Bankman-Fried.
The previous FTX govt was a well known Solana bull. The collapse of FTX would possibly create unexpected penalties throughout crypto firms, tasks, and crypto ecosystems. The market believes current occasions might negatively affect SOL.
Bankman-Fried and different FTX buyers have been thought to have gathered thousands and thousands of {dollars} in SOL. The corporate is in the midst of its chapter course of. Subsequently, there are expectations that the Chapter courtroom would possibly order the liquidation of any funds in Solana or different cryptocurrencies on this proceedings.
I’ll purchase as a lot SOL has you’ve gotten, 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 might face huge promoting stress. Something FTX-backed or linked to the failed crypto trade appears susceptible to following its path.
