Enron was a giant too big to crush. FTX was a giant too big to crush. If history teaches us anything, it’s important not to get stuck in the “too big to fail” philosophy.
When a company doesn’t have the right managers, it can often fail the most disastrously. Since the collapse of FTX Token (FTT), investors have become more wary of other centralized exchange tokens such as Binance (BNB) and Kronos (CRO). On the other hand, investors are showing confidence in coins from Dex such as: Snowfall Protocol (SNW) providing useful applications. Here is an overview of the situation.
Collapse of exchange tokens
After the fall of FTX, the FTX Token (FTT) naturally plummeted. FTX Token (FTT) was the exchange’s native token and was used to pay trading fees on the platform. The use of FTX Token (FTT) tokens has also brought discounts on fees and staking rewards to FTX users. After FTX declared bankruptcy, FTX lost its intrinsic value. This disaster with the FTX Token (FTT) has created a lack of trust among users and among other exchange tokens, especially the native coin Binance (BNB) offered.
Fear is not completely misplaced. After the collapse of FTX, Binance also saw him withdraw $9 billion in 30 days. Many analysts believe that Binance (BNB) is forming a bearish trend on its price chart called a double top pattern.
The outflow of funds from Binance (BNB) is not the only result of FTX bankruptcy and subsequent panic. Binance does not have a central headquarters. Its decentralized model makes it difficult to trace the owner in case of fraud. This is also the time when Binance is pushing users to convert their USD and stablecoin deposits into the exchange’s native tokens.
Another important red flag is the company’s current auditors. Given the size of Binance, external auditors from world-renowned consultancies are required. Instead, their auditor is from Mazar, South Africa. This further increases the threat of the company imploding.
Rise of new tokens
New tokens like the Snowfall Protocol (SNW) are proving to be an incredible investment for bear market cryptocurrency users. Unlike centralized exchange tokens, the Snowfall Protocol (SNW) derives its value from interoperability use cases. Every crypto user faces the hassle of transferring crypto assets from one blockchain to another. So the use case has universal application.
It’s also important to note that early investors have already made significant returns. Snowfall Protocol (SNW).Introduced in $0.005 price Pre-sale, already arrived $0.1 Stage 3 sale value.it has Raised over $3 million Even before the launch date, the Snowfall Protocol (SNW) will be launched on January 3, 2023, allowing investors to invest their assets in 5000%.
These are conservative estimates considering the crypto market conditions of the currency. As market conditions improve, so will the return on investment in the Snowfall Protocol (SNW).