Cryptocurrency exchange Binance isn't sure if it should continue its acquisition plans of FTX after reviewing the company's balance sheet, CoinDesk has learned, citing a person close to the matter.
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While no details were given, FTX's data on loan commitments has led Binance to reconsider its strategic transaction, the person said. A spokesperson for Binance said in a commentary to media that the exchange has barely spent 36 hours into due diligence, hinting that no final decision has been made so far.
As of press time, nor Binance or FTX made any official public comments regarding the acquisition.
The news comes shortly after Bloomberg reported that the US financial regulators — the SEC and the CFTC — are looking into FTX's business structure to find out whether the exchange violated federal laws.
Meanwhile, the cryptocurrency market is plunging to a new low. Bitcoin (EXANTE: Bitcoin) is losing over 14% and is trading at $17,000, while ether (ETH) lost nearly 24% and is trying to stay above the $1,000 mark.
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