Binance and FTX, CZ vs SBF. What Is the Root of the Feud? A Brief Tale of the Feud Between the Two Giants.

CZ first decided to exit FTX liquidity pool last year but recently due to the recent “revelations”, he has decided to dump the remaining positions. Binance currently holds 23 million USD FTX tokens equaling around 520 million USD. The tensions between the two go way back. CZ had previously criticized SBF for acquisition of Voyager Digital which was on brink of bankruptcy. SBF’s stand on aggressive regulations of DeFi has also ignited criticism among his peers.

In a recent tweet on 30th of October, SBF stated: “excited to see him repping the industry in DC going forward! uh, he is allowed to go to DC, right?” SBF was hinting at CZ’s integrity by tweeting about the probe in the alleged “crypto money laundering” in Binance.

On the 7th of November, CZ tweeted: “Liquidating our FTT is just post-exit risk management, learning from LUNA. We gave support before, but we won’t pretend to make love after divorce. We are not against anyone. But we won’t support people who lobby against other industry players behind their backs. Onwards.”

What worries people in the environment is how exposed Alameda Research is to the FTT. Alameda Research is a hedge fund founded by SBF. Recently, CoinDesk has gained access to some “private financial documents” which belonged to this hedge fund. In a recent report, there were $5.82 bn worth of FTT on Alameda’s balance sheets while there were only $3.32 bn worth of FTT in circulation.

Following these “revelations”, CZ tweeted: “Due to recent revelations that have came to light, we have decided to liquidate any remaining FTT on our books.” CZ has so far been persistent in telling his followers that his measurements are towards protecting the community rather than hurting a competitor and that the liquidation process will take place gradually due to company policies.

There are speculations that the hedge fund Alameda Research is insolvent and is projected to face the same fate as Celsius Network which was artificially inflating its balance sheet by manipulating its native token. The overexposure of Alameda to FTT has been since refuted by its CEO Caroline Ellison, tweeting: “A few notes on the balance sheet info that has been circulating recently: – that specific balance sheet is for a subset of our corporate entities, we have > $10b of assets that aren’t reflected there”

What do you guys think? Is CZ right about being so meticulous after the Luna mess?