I mean, if you interpret “liquidity crunch” in the most optimistic way, then there’s still value from the sale. But I think that would be somewhat naive here given the drop of FTT token (which, according to the balance sheet that was floated recently, made up a lot of FTX/Alameda reserves) and the general prior for crypto that “liquidity crunch” is usually a euphemism for “sorry it’s gone.”
What also looks very serious is the fact that they have to sell to their competitor who was attacking them, as opposed to being able to sell to other buyers. If it was a more innocuous “liquidity crunch,” wouldn’t you be able to show balance sheets to interested buyers and offer them a good price and not give anything to the immediate competitor who’s been defecting (or retaliating, depending on how one sees it) against you? (But maybe there are other reasons why Binance is a good fit and I’m not aware of them.)
I mean, if you interpret “liquidity crunch” in the most optimistic way, then there’s still value from the sale. But I think that would be somewhat naive here given the drop of FTT token (which, according to the balance sheet that was floated recently, made up a lot of FTX/Alameda reserves) and the general prior for crypto that “liquidity crunch” is usually a euphemism for “sorry it’s gone.”
What also looks very serious is the fact that they have to sell to their competitor who was attacking them, as opposed to being able to sell to other buyers. If it was a more innocuous “liquidity crunch,” wouldn’t you be able to show balance sheets to interested buyers and offer them a good price and not give anything to the immediate competitor who’s been defecting (or retaliating, depending on how one sees it) against you? (But maybe there are other reasons why Binance is a good fit and I’m not aware of them.)