If we are being honest, 2022 was a rough year for many crypto traders with the Bitcoin dip and whatnot. It didn’t help that crypto traders thought FTX to be the beacon of hope and the saviour that would lead them out of the jungle; it crashed almost beyond repair. Crypto enthusiasts are calling it the biggest crypto letdown of all time because, in a way, no one saw it coming. We enjoyed riding the wave more than anything else, and now that it has come to an end, what next? How does the FTX crash affect you and the value of your crypto assets?
This article discusses everything you need to know about the FTX crash and its effects on the ecosystem.
Everything you need to know about the FTX crash
In November 2022, crypto exchange FTX filed for voluntary Chapter 11 bankruptcy after losing billions from client investments. This happened shortly after the crypto company tried to salvage the situation through a Binance acquisition deal which fell through. Reports have shown that FTX lost over $2 billion in client funds after transferring funds to Almeda Research, its sister company.
Following the crash, the CEO of FTX, Sam Bankman Fried, was arrested in the Bahamas for mismanagement of customers’ funds and fraud.
Before this crash, FTX held a lot of promises, being the fourth-largest crypto platform in the world. The platform hid its financial records from the public, and the former CEO Bankman-Fried took this decision. When other world-leading crypto platforms heard about the fraud that was going on in FTX, they quickly withdrew their funds, and this led other significant investors on the platform to follow suit. The price of FTT, FTX token coins started dropping, leading to further loss of customers and impending doom.
Read also: Bitcoin trading strategies for Nigerian investors
How does the FTX crash affect crypto traders?
One thing cryptocurrency promised us was decentralization. With the FTX, the idea of decentralization became like a dream since one was capable of fraud. People wanted to be free from the limitations of conventional banks only to be defrauded by one man. Of course, this would raise suspicions as it has led different traders to second guess their decision to trade crypto in the first place.
Secondly, every investor that still had their assets with FTX at the time of the crash will have to wait to be refunded. FTX currently owes their top customers over 3.1 billion dollars, and a substantial part of that amount has gone missing or probably stolen. While the whole situation is messy, and we can only hope for the best, business will go on as usual. Other top exchange platforms are still fully operational, and cryptocurrency can be exchanged on them.
Best place to trade cryptocurrency and get paid
While the FTX crash might have derailed your hope in the crypto market, it is not over yet. Bitcoin, Ethereum, BUSD, and USDT are still upstanding cryptocurrencies that you can invest in and accrue profits. If you’re in Nigeria and Ghana and you’ve been looking for an excellent place to sell your crypto for cash, you’re on the right track.
The platform you choose determines the quality of your trading experience and the quantity of your profits. To make the most out of your cryptocurrencies in Nigeria and Ghana, use Astro Africa. A quick search of Astro Africa on the review site will show that it is the best crypto exchange platform in Nigeria and Ghana, as our users have continuously sung our praises.
On Astro Africa, you can sell Bitcoin at the best rates and maximize your profits. We don’t charge you transaction fees or withdrawal fees like other exchange platforms. Immediately after every transaction, you can withdraw your proceeds to a local bank account. Even more, we have the best crypto wallet in Africa for you to store your crypto assets, and you become eligible immediately after you sign up. The platform is also well-secured with responsive customer service to ensure that assistance is always available whenever needed.
What are you waiting for? Hurry now, download the Astro Africa mobile apps and start converting crypto to cash at the best rates.