The crypto token FTX, FTT, which is tied to the now-defunct FTX cryptocurrency exchange, saw a dramatic increase in value on Wednesday following statements from the exchange’s legal team in bankruptcy court.
The legal representatives suggested that the FTX exchange could potentially be revived as part of a broader reorganization plan.
Although no specific plan has been presented and court approval would still be required, the mere possibility of the exchange’s resurrection has had a significant impact on FTT’s value.
FTT was trading at around $1.32 against the stablecoin BUSD on Binance before the news, with Binance’s FTT/BUSD trading pair accounting for roughly 70% of the token’s reported trading volume, according to CoinMArketCap data.
As the buzz around the potential reorganization plan intensified, FTT’s price skyrocketed to over $3, accompanied by a surge in trading volumes. At the time of writing this article, FTT was trading at approximately $2.56, with a 24-hour trading volume of $411,382,716 USD.
FTT has experienced an impressive 94.39% increase within the last 24 hours, securing a CoinMarketCap ranking of #209.
The token’s market cap stands at $843,071,911 USD, with a circulating supply of 328,895,104 FTT coins and a max supply of 352,170,015 FTT coins.
FTX’s legal team indicated plans to submit a reorganization proposal in July, which could potentially bring the defunct exchange back to life. This news has sparked excitement among FTT holders and the broader cryptocurrency community, who are closely monitoring the situation.
In related news, the bankruptcy court denied the request of former FTX CEO Sam Bankman-Fried to access a $10 million insurance policy to help cover his legal expenses.
