Binance has signed a non-binding, letter of intent to acquire FTX, the two firms said, delivering a surprising twist amid the public feud between the world’s two largest crypto exchanges that contributed to several tokens taking a tumble Tuesday. The firms didn’t disclose the value of the deal, which is pending the due diligence process.
In a series of tweets, Binance founder and chief executive Changpeng Zhao said Binance made the decision after FTX reached out to the firm for help.
“To protect users, we signed a non-binding LOI, intending to fully acquire FTX and help cover the liquidity crunch. We will be conducting a full DD in the coming days,” he said.
In a tweet, Sam Bankman-Fried (pictured above) said: “A *huge* thank you to CZ, Binance, and all of our supporters. This is a user-centric development that benefits the entire industry. CZ has done, and will continue to do, an incredible job of building out the global crypto ecosystem, and creating a freer economic world.”
Several cryptocurrencies jumped on the news.
(More to follow)