A few hours ago, Sam Bankman-Fried announced on Twitter that FTX’s exchange token, FTT, is now dual-compatible with the Ethereum and Binance blockchain networks.
”We’ve just enabled BEP2 FTT deposits and withdrawals. FTT is now dual-listed as an ERC20 and BEP2!” - Tweeted Bankman-Fried, CEO of FTX exchange
The news comes shortly after Binance announced investing in the FTX exchange and taking a long position on the FTT token. The companies are calling the collaboration a “strategic investment,” as FTX will help provide liquidity and develop products.
From the press release, it seems like Binance is providing FTX cash for tangible services. The exchanges are very different as Binance’s flagship site does not trade derivative products, which is mostly what FTX is made up of. Binance Futures, which is a derivatives exchange, still only lists ETH and BTC pairs.
It is unclear what FTT being compatible with the Binance chain will accumulate to in the immediate future other than making it easier to support on their exchange. Binance already supports so many tokens that it likely would be able to accept FTT as the ERC-20 token that it has been. Mostly, what it looks to be is FTX co-signing their new partner’s network.
For right now, FTX leads in diverse derivative products over any exchange, and Binance is probably looking for some pointers.
“The FTX team has built an innovative crypto trading platform with stunning growth. With their backgrounds as professional traders, we see quite a bit ourselves in the FTX team and believe in their potential in becoming a major player in the crypto derivatives markets.” - Changpeng Zhao, CEO of Binance