Alameda-Backed Tokens Suffer As FTT Fights To Stay Alive

In the wake of the FTX decline, the official token of the crypto exchange, FTT Token, has suffered a massive blow in the market. In the three days since Binance’s announced its intention to sell off its FTT, the token has recorded double-digit losses. However, the losses have not just been localized to one token, the general crypto market has suffered for it, but the worst of it has been reserved for the tokens Alameda Research has invested in.

FTT Token Slumps

In what has been a shocking development for the entire crypto space at large, FTT Token has crashed more than 80% in a matter of days. The token which was backed by the 2nd largest crypto exchange has continued to suffer significant setbacks.

In just the last 24 hours alone, the price of FTT is down more than 70%. The token is now trading at levels not seen since 2020. It has now also hit a new two-year low, making it one of the worst-performing coins of 2022.

The decline looks eerily similar to that of the LUNA token following the collapse of the Terra network. In the same vein, the cryptocurrency has lost billions of dollars off its market cap and is currently sitting at a fully diluted market cap of $1.5 billion.

FTT token trading at $4.459 | Source: FTTUSD on TradingView.com

Interestingly, the trading volume of FTT is up over 130% in the last 24 hours as traders try to take advantage of the token. Short traders have obviously enjoyed the most profit from their activities as FTT’s price dropped from $19 to $3 in a matter of hours.

Alameda Tokens Not Left Out

Alameda Research was one of the most active firms when it comes to crypto investments, which means they had their hands in a lot of pots in the space. As FTX is being brought to its knees, these other tokens have felt the impact of such a collapse.

Solana (SOL) which Alameda is vocally a backer of has been hit the worst of all tokens besides FTT that the firm holds. In the last 24 hours alone, SOL price is down more than 34%. The same is the case for Lido DAO (LDO) which has declined 23% in the last day. 

Alameda reportedly holds 100 million BitDAO (BIT) tokens and the coin is down 15% in the last 24 hours. 1inch Network has also suffered a similar fate, although to a lesser extent with only 7% in losses in the last day. All DeFi protocols that Alameda is invested in including MobileCoin, Serum, and Liquidity are mostly down double-digits as well.

FTX was an investor in the recently launched Aptos blockchain and the token has not been left out of the bloodbath. APT is down 30% in the last day as its price has declined to $4.47 at the time of this writing. 

Featured image from Currency.com, chart from TradingView.com

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