As the FTX crisis continues to have a negative impact on the markets, crypto exchange Binance is establishing a fund to assist potentially strong projects that are experiencing liquidity issues.
Binance CEO Changpeng Zhao stated in a tweet that the fund aims to mitigate the cascading negative effects of FTX’s collapse by assisting projects that he described as “strong, but in a liquidity crisis.”
While CZ did not provide all of the details on which projects would be eligible, he did advise teams that they should contact Binance Labs, the exchange’s venture capital arm.
He also encouraged other industry players interested in co-investing to contact them.
In addition, CZ tweeted:
To be clear, the Binance CEO stated that the fund is not for FTX, but rather for other projects in the crypto ecosystem, and that “liars or fraud never qualify as strong projects.”