FTX Latest News – October-14-2023
In this article we look into the FTX latest news. The world of cryptocurrency is abuzz.
With a recent development involving FTX, a once-prominent exchange that is now undergoing bankruptcy proceedings. The trustees overseeing the bankruptcy have made a significant move by staking 5.5 million units of the cryptocurrency Solana (SOL).
FTX’s Locked Solana Assets
Market News – The current market value of FTX’s total Solana assets stands at an impressive $1.16 billion. However, it’s important to note that a large portion of these assets are locked in what’s known as a lock-up period and won’t be fully available until 2028.
On October 13, Whale Alert, a blockchain tracker and analytics system known for its timely updates on high-value cryptocurrency transactions, reported a transfer of 5.5 million SOL. This piqued the interest of many in the crypto community.
Following this revelation, Ashpool, an onchain researcher, identified that this substantial amount of SOL belonged to the FTX estate. Ashpool further revealed that these funds were directed towards Figment, a validator in the Solana network. (Validators are nodes in a blockchain network that validate transactions and add new blocks to the blockchain.)
Exploring the Potential Outcomes and Rewards of SOL Staking
The potential outcome of SOL staking can vary greatly depending on several factors. Some sources assert that SOL staking has traditionally offered around 5.5% Annual Percentage Yield (APY). Yet, others suggest that SOL staking can yield as much as 14.47% APY, contingent on the staking platform chosen.
Rewards for staking in Solana are distributed approximately every 2-3 days. However, the precise frequency of rewards can fluctuate based on network conditions and other variables.
FTX’s estate holds roughly $1.16 billion in SOL, but not all of it is immediately accessible due to the aforementioned lock-up periods. Specifically, 12 million of FTX’s SOL cache is scheduled to be released in increments every 30 days until 2027. An additional 34.52 million SOL is set to be gradually unlocked every month until 2028.
Both of these caches are disbursing monthly SOL that FTX can either sell or stake. However, FTX also has the option to sell the keys to the entire vested cache before its official release.
This development has sparked widespread discussion and speculation within the crypto community about the potential impact on Solana’s value and market dynamics.
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.