Binance backs out of FTX acquisition agreement

The world woke up to startling news on Tuesday that Binance was ready to acquire its rival, FTX.com to “cover its liquidity crunch.” This was however subject to a due diligence exercise.

Come Wednesday evening, Binance stated that that it was pulling out of the deal.

According to the crypto giant in a series of tweets, “as a result of corporate due diligence, as well as the latest news reports regarding mishandled customer funds and alleged US agency investigations, we have decided that we will not pursue the potential acquisition of http://FTX.com.”

“In the beginning, our hope was to be able to support FTX’s customers to provide liquidity, but the issues are beyond our control or ability to help.”

“Every time a major player in an industry fails, retail consumers will suffer. We have seen over the last several years that the crypto ecosystem is becoming more resilient and we believe in time that outliers that misuse user funds will be weeded out by the free market.”

“As regulatory frameworks are developed and as the industry continues to evolve toward greater decentralization, the ecosystem will grow stronger.”

After the series of tweets from Binance Twitter handle, CEO, Changpeng Zhao, reacted saying “Sad day. Tried But “crying emoji”

This is a developing story…..