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* The events that have occurred throughout the years across different crypto era Mt Gox in 2014, now FTX in 2022 has taught crypto investors that this CEXs cannot be trusted and we have come to realize the importance of using decentralized exchanges.
* The events that have occurred throughout the years across different crypto era Mt Gox in 2014, now FTX in 2022 has taught crypto investors that this CEXs cannot be trusted and we have come to realize the importance of using decentralized exchanges.
Even so MT.Gox remains the only Centralized Exchange (CEX) that collapsed and resulted in many losses. Mt.Gox operated from 2011 to 2014 and managed to control 46% of the crypto market from 2011 to 2014 because nothing was as popular as Mt.Gox anymore. and FTX controls only 13% of the crypto market from 2019 to 2022.
The biggest hack that happened to Mt.Gox harmed around 478 users with a total loss of 25,000 BTC and Mt.Gox itself declared bankruptcy losing 850,000 BTC due to the hack.
The impact of FTX has not been as strong as that experienced during Mt.Gox, but even so, the short-term impact is currently being felt strongly in terms of trust in the Centralized Exchange. Negative sentiment resulted in investors continuing the bear market and many assets being liquidated.
Even big companies like Chainalysis are one of FTX's investors and are currently also affected. Blockchain analysis company has a long relationship with FTX and in 2019 the two collaborated to change the AML (anti-money laundering) system and Know Your Customer (KYC).
Apart from Chainalysis, there are around 53 companies that have been confirmed to have business partnerships with FTX in early 2022.