Binance To Acquire FTX

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, 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. Binance, the world’s largest exchange, is the first investor that backed FTX, but as the younger firm grew in popularity, the relationship between the two firms started to wither.