FTT token active addresses close to 0 for the entirety of 2022

Energetic addresses transacting with FTX’s FTT token have been near zero all through 2022, in accordance with Glassnode knowledge analyzed by CryptoSlate. Earlier than Binance introduced a possible FTX acquisition, it seems the token has been comparatively inactive on-chain.

Given that almost all exercise on exchanges occurs off-chain and FTT is the native token of FTX, it’s possible that almost all customers maintain FTT tokens in custodial wallets on FTX reasonably than in chilly storage. Moreover, the dearth of lively addresses helps this thesis, as retail buyers with property on FTX is not going to be counted towards lively addresses on chain.

The token was buying and selling at $38 in January and hit a excessive of $53 in March. It fell to round $30 by Could after which traded inside a spread of $21 to $32 till Nov. 6, when rumors started to unfold a few potential liquidity subject.

The rumors started over the weekend of Nov. 6-7 when Binance CEO CZ introduced that the corporate can be liquidating its FTT tokens. New addresses interacting with the FTT token spiked after the brand new, though FTX owns 99.6% of the whole provide.

As of press time, FTT is now buying and selling at simply $5.20 amid excessive volatility on a day when it hit a excessive of $20 and a low of $2.60.

Earlier than October, 60% of the FTT provide was held in good contracts, however this has fallen to roughly 5% because the market received spooked by the onslaught of revelations about FTX. Nonetheless, FTT open curiosity and 24-hour quantity spiked to the very best ranges this 12 months throughout the identical interval.