Crypto traders with remaining funds on FTX are attempting to sell their account balances for fractions of their face value.
Telegram chats facilitating small over-the-counter (OTC) markets viewed by CoinDesk reveal buyers are bidding about $0.10 to $0.15 on the dollar for the locked-up funds, while sellers are generally looking to offload their balances at around $0.20 to $0.33.
“Size for sale @ … $0.20,” read a Wednesday morning Tweet thread. “$0.15 in mid-size snap filled.”
Another private Telegram messaged showed a seller asking to offload funds at “$100k block” minimums.
The steep discounts at which the FTX deposits are trading highlight the lack of customer confidence over a rapid full recovery. The messages also provide an approximate estimate for the fair value of a dollar currently held in limbo at FTX.
The international portion of the exchange, FTX.com, halted all crypto withdrawals on Tuesday after a run on led to slow withdrawal processing times.
Upon announcing the Binance bailout, FTX CEO Sam Bankman-Fried tweeted that “all assets will be covered 1:1” under the preliminary purchase agreement.
However, CoinDesk reported earlier today that Binance was “strongly leaning toward scrapping” the FTX rescue after preliminary due diligence.