FTT Token Soars 72% on SEC Chair’s Remark Over FTX Resurrection

• The token was instrumental in the demise of FTX in November of last year.
• FTT is still down 97% from its all-time high of $84.18.

FTT, the token of bankrupt crypto exchange FTX, soared over 72% after SEC head Gary Gensler’s statements signaling his openness to a resurrection of the exchange “within the law.” Gensler’s remarks come after rumors that three buyers are approaching FTX, including ex NYSE president Tom Farley’s crypto exchange Bullish.

None of the potential buyers of FTX have shown any interest in resurrecting the FTT token. However, many companies are apparently vying for the opportunity to assume control of FTX. 

Still Down 97% from ATH

The token was instrumental in the demise of FTX in November of last year. Following FTX’s July 2021 use of FTT tokens to pay out Binance’s equity position, the rival exchange sold its holdings, alleging “recent revelations that have come to light”—thereby starting a domino effect that ultimately led to FTX’s demise.

Alameda Research, a sibling trading business of FTX, was found to have commingled user cash and conducted multi-billion dollar loans using the FTT token as collateral. Sam Bankman-Fried, the exchange’s former CEO and founder, was found guilty last week on seven charges of fraud and conspiracy connected to the demise of the FTX exchange.

According to CoinMarketCap, the 24-hour trading volume for FTT has surpassed $320 million, and the price has risen to a new seven-month high of $2.32. Despite a recent price increase on hopes of a return to the exchange, FTT is still down 97% from its all-time high of $84.18.

Earlier this year, despite hopes for a relaunch, a number of institutional traders voiced their displeasure with the platform, citing bad latency and several other issues. 

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