Ava Labs: We will not be affected by the collapse of the FTX exchange

The management of the company that developed the Avalanche blockchain believes that the crisis caused by FTX is in its mildest form - things could be much worse.

Emin Gun Sirer, founder and CEO of Ava Labs, said his company is not enough contacted the FTX cryptocurrency exchange, which is currently in bankruptcy proceedings. The damage done by FTX and management is difficult to assess, but certainly great, Sirer said.

According to the head of Ava Labs, it all started long before the crypto exchange filed for bankruptcy - back in the days when FTX "deployed operations to pump some coins at the expense of others." So the main damage to the market was done then, not now. In other words, Sirera is accusing a colleague at the head of FTX of manipulating the market to maintain the value of certain coins and the possibility of borrowing against them.

The head of Avalanche developers believes that the situation could have turned “not so carefully” - everything could have ended more destructively for the market. Sirer admitted that his company was considering investing in FTX, but decided to back out just in time.

Earlier, the professional eSports organization Team SoloMid (TSM) announced the termination of the sponsorship agreement with FTX. The reason was the bankruptcy of the crypto exchange.