The FTX platform or the deployer of the contracts FTT tokens has issued approximately 192 million new FTT tokens today in the markets throughout all the crypto exchange platforms and these are been seen circulated on all the major cryptocurrency exchanges all of sudden through the air-like conditions, it is said that these newly issued coins worth approximately about $380 million.
As per the reports, it’s revealed that all these FTT tokens after creation were sent to newly created wallets for circulation on the crypto exchange platforms. The major crypto exchange platforms like the Biances has announced not to deposit these FTT token on all the cryptocurrency exchanges and help to prevent all the additional market maintain by the FTT tokens in the crypto world.
What are FTT Tokens?
The FTT Tonens were issued by the cryptocurrency exchange platform FTX as its tokens and the possible future currency for the trades along with all the other crypto assets on the cryptocurrency exchange.
The founder of FTX has been considered a visionary in their perspectives on the cryo currency. His company-issued FTT tokens were able to witness the sky rocked prices in the recent time with the maximum price fleet up to $84 in the recent times, but after the recent controversy and the news speculation around the FTX and its sister company Almanda research it was stated that the company Alameda research is having approximately $10 billions of assets allocation on as a source of FTT tokens.
this has been considered as a fragile move in the market the valuation of the FTT tokens collapsed in just 72 hours after the crypto comedy Binance announcement to delist all of these crypto assets from the Binance platform. After these collapses the prices of FTT Tokens have been merely bottled down to $2-$3 per token this week.
Can any exchange issue new tokens?
The printing of the fiat currency has to be done by considering the physical assets with the institutions, ideally, this has been the same formula for printing or issuing any new assets in the money market to balance the price bubble of the market.
There is a huge amount of regulation on the traditional banking institutions or the government-backed institutions for printing or issuing these money market issues, but this is not the case in the crypto markets because of the lack of regulations and the irregular regulon on these cryptocurrency exchange platforms. So they can create, mind, or ossies any type of crypto assets in the crypto market.
Due to the incomplete understanding of these financial instruments, many new buyers fall prey to these investments option, and the process is continued until the bubble bursts just like in the FTT tokens case.