Binance Creates An Industry Recovery Fund

Binance CEO Changpeng Zhao has announced that he has created an industry recovery fund as the FTX crisis swept the crypto market. Binance’s recovery fund will assist long-term successful projects affected by the liquidity crisis. Crypto platforms can contact Binance Labs to check their eligibility for a market recovery fund. In addition, Binance CEO asked other firms to jointly invest in the recovery fund and help the market recover. Crypto prices plummeted after one of the largest crypto exchanges, FTX, filed for bankruptcy, losing the confidence of institutional investors.

The crypto market continues to decline after the FTX crisis. Also, the outbreak has spread to other assets as they have not recovered from their previous Terra-LUNA and liquidity crises, Binance is no exception. As a result of the slowdown in the crypto market, Binance CEO “CZ” announced an industry recovery fund in a tweet on November 14 and urged other investors to co-invest.

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

Justin Sun, the founder of Tron, wants to support and participate in the Binance CEO’s attempt to save the market. He believes that the initiative will help good projects and developers get out of the crisis.

.@trondao @HuobiGlobal @Poloniex echo @cz_binance's initiative to participate in this industry recovery fund and help good builders and developers to recover from the crisis! ❤️
— H.E. Justin Sun🌞🇬🇩🇩🇲🔥 (@justinsuntron) November 14, 2022

Other organizations, including Celsius’ largest investor Simon Dixon, support joining the fund and contributing to its decentralization with the crypto community.

Twitter user Crypto King asked if FTX was a strong but liquidity crisis project. Binance CEO, “Liars or scams can never qualify as powerful projects. This is for other projects in the ecosystem.” gave the answer. Bitcoin and altcoins show slight recovery after the announcement. The effect of the fund on the market will be a matter of curiosity in the coming days.