Binance Joins Crypto Industry Recovery Initiative 10 committed $100 million to restore confidence following the collapse of crypto exchange FTX. Several other cryptocurrency companies have joined Binance’s efforts to fund the Recovery Fund.
Crypto Industry Recovery Initiative Launched
Cryptocurrency exchange Binance released details of its Industry Recovery Initiative (IRI) on Thursday. Organizations eager to support the future of web3.
Initially, Binance has committed US$1 billion to his IRI-themed investment opportunity, and plans to pay back that amount in the near future. is expected to increase to US$2 billion. need arises.
“To date, Jump Crypto, Polygon Ventures, Aptos Labs, Animoca Brands, GSR, Kronos, and Brooker Group have also committed to participate with an initial gross commitment of approximately US$50 million. and we expect more participants to join us soon,” Binance added. Each participant has secured funds in stablecoins or other tokens.
Binance is characterized by “innovation and long-term value creation” and “a clearly articulated and viable business model” I explained that I was looking for a project.
The global cryptocurrency exchange said:
What makes this initiative unique? What we are doing is a collaborative approach to regaining trust in web3.
Binance CEO Changpeng Zhao (CZ) was the first to reveal that his company is setting up a crypto industry recovery fund last week. Executives explained at the time that the purpose of the recovery fund was to “further reduce the cascading negative effects of FTX” by backing “otherwise strong but liquidity-stressed” projects. , compares FTX’s failure to the 2008 financial crisis and warns of ‘cascading effects’.
FTX filed for Chapter 11 bankruptcy on November 11, prompting former CEO Sam Bankman-Fried to resign. The company is under investigation in multiple jurisdictions. In the United States, a number of authorities are investigating exchanges for mishandling customer funds.
Binance explained that IRI is not an investment fund. “We have already received approximately 150 applications from companies seeking support under the IRI,” the exchange said, detailing: Built by top technologists and entrepreneurs, but through no fault of their own, they are facing significant short-term financial difficulties.
The announcement said the initiative is expected to last about six months and will be “flexible to investment structures such as tokens, fiat currencies, equities, convertibles, debt and lines of credit.” is explained in more detail. We anticipate that individualized solutions will be required.
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