Bybit Exchange Will Provide A $100M Fund To Support Its Institutional Clients.

In addition to raising the $100 million fund to help its community, Bybit has had to go above and above to reassure its users that it is solvent, liquid, and reliable.

Bybit, a Singapore-based cryptocurrency trading platform, has announced the formation of a $100 million fund to support institutional investors within its ecosystem in the middle of the lingering fire that the current crypto winter has cast over many.

In a statement sent via email, Bybit stated that the $100 million is intended for both its current and future traders, with a focus on specialized account managers. Depending on how dire their financial situation is, the recipients may have access to up to $10 million, according to the trading site.

Many traders and investors lost money in the cryptocurrency companies that went bankrupt earlier this year, including Celsius Network, Voyager Digital, and Three Arrows Capital (3AC), among others, and their months of recovery were eroded when FTX filed for bankruptcy earlier this month.

It is especially sad that the FTX meltdown happened so quickly, depriving investors and the larger crypto sector of the chance to prepare for a potentially disastrous fallout. Exchanges like Bybit are working to lessen the impact on all users as a result of the crash, which will likely result in many investors suffering greater losses than they did at the beginning of the year.

Ben Zhou, CEO and co-founder of Bybit, said in the statement, “We are all in this together, and it’s up to everyone to do what they can to support our industry. This is one way we are helping to give back.”

Bybit has now joined companies like Binance Exchange in making proactive measures to develop funds specifically designed to meet the needs of Web3 stakeholders who are most negatively impacted by the collapse of FTX. In particular, Binance built a $1 billion recovery fund that it intends to deploy to ease the liquidity squeeze that most trading platforms must currently be feeling. Additionally, some of the earnings are set aside for purchases.

In addition to raising the $100 million fund to help its community, Bybit has had to go above and above to reassure its users that it is solvent, liquid, and reliable.

The trading platform disclosed its Proof-of-Reserve (POR) earlier this month, demonstrating that it possesses up to $1 billion in Bitcoin (BTC), Tether (USDT), Ethereum (ETH), and USD Coin (USDC). At a time when the majority of trading platforms are experiencing a severe liquidity shortage, the decision to reveal its PoR is another step taken toward transparency and restoring the trust of clients.

After Binance, Bybit is now recognized as the second-largest trading platform for derivatives products, with an average daily trading volume of $5 billion. The exchange’s place in the Web3.0 ecosystem has been continuously scrutinized, and the most recent fund and transparency strategy has further strengthened the exchange’s position in this area.

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