TechFlow News, November 9 — Binance founder CZ has released an internal letter to employees. The full text is as follows:
First, we didn’t have a master plan for this or anything related. Less than 24 hours ago, SBF called me, and prior to that call, I knew very little about FTX’s internal situation. I could do some mental math using our revenue to estimate theirs, but it would never be accurate. I was surprised when he called. My first thought was that he wanted to do an OTC deal on FTT… but then things just unfolded.
Second, as due diligence on the deal is ongoing, I want to remind everyone: do not trade FTT. Right after my call with SBF yesterday, I instructed our team to stop selling FTT as an organization. More importantly, we need to hold ourselves to a higher standard than banks.
Third, clearly, I cannot comment publicly or internally on this transaction. If you are not directly involved, please don't ask. We have a strong team handling it.
Fourth, FTX's troubles are bad for everyone in the industry. Do not see this as "our victory." User confidence has been severely shaken. Regulators will scrutinize exchanges more strictly. Obtaining licenses globally will become harder. People now perceive us as the largest, and will target us even more. But that's okay—we're used to operating under scrutiny and against headwinds. In fact, we welcome scrutiny. We must significantly enhance our transparency, proof of reserves, insurance funds, and more. There is still much work to be done in this space. We have a lot of hard work ahead. Not to mention the extreme price volatility.
Fifth, speaking of price—just as I've said many times over the years—ignore the price. Let’s stay humble and focus on building products people use. This approach has worked well for years, and today is clearly no exception.
Finally, I want to say that I’m truly proud of each one of you, and grateful for your hard work and team spirit. Thank you! We still face many challenges—let’s keep moving forward, steadily and continuously helping to increase financial freedom worldwide.
