Crypto Corner: A profile on FTT

Back in July, we welcomed the FTT token to the Wirex app. Coming all the way from Wall Street, FTT powers the FTX exchange and offers a range of great features.

We thought it was time you got to know FTT a bit better, so let’s take a further look.

What’s it all about?

FTT is the native cryptocurrency of the FTX exchange. Its purpose is to reduce trading fees and be used as collateral against future positions, which increases its utility and demand. Its market cap is currently $6.46 billion and there will only ever be 350,000,000 tokens in existence.

You can also stake the token to earn rewards, such as free daily withdrawals of ETH and other ERC-20 tokens, discounts on FTT fees and non-fungible token (NFT) rewards.

FTT was also created to address the problem of users facing constant repossessions (aka “clawbacks”) of their funds, which had previously caused significant losses in exchange networks. To achieve this, it uses a three-tiered liquidation model:

  1. Close down positions with rate-limited liquidation orders in the market.

  2. Use a backstop liquidity provider program which steps in to help accounts at high risk of bankruptcy.

  3. Influence the insurance fund to prevent losses.

Who came up with the idea?

Sam Bankman-Fried is the founder and CEO of the FTX exchange. He started his career at Jane Street Capital after graduating from the Massachusetts Institute of Technology University (MIT).

In 2017, he and former Google engineer Gary Wang then co-founded Alameda Research, a quantitative trading firm. Two years later, they launched the FTX exchange.

What can you do with FTT?

FTT offers a range of impressive features, but it can also be used to buy, HODL and exchange like any other currency. Buy and exchange at exclusive OTC rates with Wirex today!

Any fun facts?

Since the beginning of 2021, FTT’s value has increased by over 1,000%. Costing just $5.77 in January, its price has more than doubled since, with one token now worth over $60!

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