We are currently witnessing a massive potential acquisition of FTX by Binance- and it’s going down in real-time on twitter.

Although the potential acquisition is the current trending topic of crypto twitter, the story dates back years ago when Binance first invested in FTX in 2019.

From that point forward, FTX began making strides and scaling their derivatives platform at unprecedented rates.

As FTX continued to scale, Binance eventually decided to sell their stake in FTX as it became a quickly approaching top competitor. In their buyout Binance received $2B FTT which is the native trading fee token on the FTX platform. This information is key to what we’re watching unfold.

In the past few days, CZ, the founder of Binance tweeted that they plan to liquidate the remaining $2B in FTT.

With no surprise, this created a ton of market sell pressure from people expecting an overnight sell of FTT from Binance.

Now, CZ said that the liquidation of FTT was due to “recent revelations” that have surfaced and there is quite a lot of speculation as to what that might be. I personally believe the rumors that Sam Bankman-Fried(SBF), the founder of FTX, was slandering Binance; however, it is yet to be proven true. If so, it would impact Binance tremendously which is enough of a motive for CZ to apply pressure back toward SBF. With FTT losing a significant amount of its value overnight, and no signs of any meaningful recovery, SBF is forced to take action.

This is where SBF’s former hedge fund startup, Alameda, comes into the picture. Caroline, the CEO of Alameda, recently tweeted that they would buy CZ’s current holdings at $22.

If this were to happen, Alameda would potentially bail out FTX from their predicament; however, Alameda already has about half of their $12B in assets tied up in FTT. This puts Alameda in a tough position leading many people on crypto twitter to doubt the likelihood of this bailout.

To top it off, FTX has put a temporary stop to withdrawals to ease the situation which is a huge hit to current FTT holders as well as a red flag to the status of the entire situation.

The current drama is still not over, but CZ recently tweeted that Binance has issued a non-binding letter of intent to acquire FTX.

Now we play the waiting game as we watch the outcome of the recent happenings to play out. Will Binance end up acquiring FTX? Will FTX go down without a hand in sight to save them? I like to believe this will end in a positive light, but the current situation doesn’t hint in that direction.

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You can keep up with the rest of the shenanigans on CZ & SBF’s twitter here: