FTT up 24% after Sam Bankman-Fried's bail release

Photo: Forbes/Guerin Blask

After Sam Bankman-Fried was able to secure a $250,000,000 bail, the price of the native FTX token immediately reacted to this. On December 19, for the first time in its existence, the coin broke the $1 mark and continued its downward movement.

Having reached the mark of $0.84, it became known that the ex-CEO of the American bankrupt cryptocurrency exchange was able to agree with the judges on bail of $250,000,000. Against the backdrop of this event, the asset immediately showed an increase and its value rose by 33%, reaching $ 1.11, which has not been observed since December 19.

After the rise, the token began its decline almost immediately, and at the time of writing, it is valued at $1, based on CoinMarketCap data. The FTT token is still listed on major cryptocurrency exchanges and continues to be traded by traders, despite legal proceedings. The native FTX token can still be bought on platforms such as Binance, CoinEx, MEXC, Huobi, Bitget, and more.

Despite this, many exchanges have removed many FTT trading pairs, leaving only one each. In addition, the ability to open transactions with this token has also disappeared from derivative financial instruments.

Interestingly, the US Securities and Exchange Commission recognized FTT as a security, as investors in the exchange's token "had a reasonable expectation of profiting from the team's efforts." This characteristic describes the FTT as a security.

Earlier, well-known economist Peter Schiff commented on the release of Sam Bankman-Fried on bail. According to him, "the record number of young Americans living with their parents has been replenished by Bankman-Freed."

Schiff also believes that the collapse of FTX is the beginning of a global decline in the cryptocurrency industry. According to his assumptions, many investors will start their journey from scratch.

Peter Schiff is a bitcoin skeptic and has a rather negative attitude towards the digital asset. He repeatedly called the main cryptocurrency a bubble and said that if cryptocurrency enthusiasts want to lose their money, then they can come up with many other ways to achieve their goal.