Bitcoin and crypto prices shot up this morning on the news that CZ wants to put together an “Industry Recovery Fund” in order to support strong projects undergoing a liquidity crisis.
All crypto was trending downwards this morning as the waves of selling continued on the back of the uncertainty and fear caused by the collapse and bankruptcy of Sam Bankman’s crypto exchange and trading empire.
However, the announcement by Binance CEO Changpeng Zhao (CZ) on Twitter earlier today, that his company would be putting together an Industry Recovery Fund, provided a much needed relief rally for the market, even if it might only be short lasting.
To reduce further cascading negative effects of FTX, Binance is forming an industry recovery fund, to help projects who are otherwise strong, but in a liquidity crisis. More details to come soon. In the meantime, please contact Binance Labs if you think you qualify. 1/2
— CZ 🔶 Binance (@cz_binance) November 14, 2022
On the news Bitcoin rose around 6% from $15,800 to $16,900, which made a welcome deviation from the steady downwards descent to the next major support level at around $13,700.
The total market cap of crypto went up by a similar percentage and added around $46 billion over the next six hours, although it remains to be seen if the rally will be anything more substantial.
Reuters published a YouTube video this morning which featured the Binance CEO being interviewed at the B20 Summit Indonesia. During the interview CZ made a call for more regulation for the crypto industry after seeing FTX file for bankruptcy last Friday and following the decision by Binance to pull out of a rescue bid.
The Binance head said:
“We do need to increase the clarity of regulation, and the sophistication of regulation in the crypto space.”
“Over the last week there is so much turmoil in our industry. I want everyone to understand, that’s not reflective of everything in the industry. The industry goes through ups and downs. We have one, or even more bad players in the industry but the industry’s still growing. We’re still building.”
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Sourced from cryptodaily.co.uk.
Written by Laurie Dunn on 2022-11-14 12:00:19.