An announcement from Binance CEO Changpeng Zhao has triggered an immediate rise in the price of Bitcoin and the overall crypto markets.
Zhao says he’s forming an “industry recovery fund” to support companies and projects that are struggling with liquidity in the aftermath of the collapse of FTX.
“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.
Also welcome other industry players with cash who wants to co-invest. Crypto is not going away. We are still here. Let’s rebuild.”
Bitcoin has rallied from a 24-hour low of $15,906 to a high of $16,580.
Ethereum has bounced from a 24-hour low of $1,180 to a high of $1,233.
The market move caps off a chaotic weekend that began with the FTX claiming it had been hacked as user account balances plunged to zero and millions of dollars in crypto began exiting the exchange.
A few hours before the new announcement from Zhao, disgraced FTX founder Sam Bankman-Fried posted a bizarre and incoherent message on Twitter.
Bankman-Fried has not said anything material since announcing the bankruptcy of FTX, FTX.US and Alameda Research on Friday.