{"id":17844,"date":"2023-02-19T20:25:06","date_gmt":"2023-02-19T20:25:06","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/ftx-warns-community-of-phony-debt-tokens-and-scams-claiming-to-be-affiliated-with-the-bankrupt-exchange-bitcoin-news\/"},"modified":"2023-02-19T20:25:06","modified_gmt":"2023-02-19T20:25:06","slug":"ftx-warns-community-of-phony-debt-tokens-and-scams-claiming-to-be-affiliated-with-the-bankrupt-exchange-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/ftx-warns-community-of-phony-debt-tokens-and-scams-claiming-to-be-affiliated-with-the-bankrupt-exchange-bitcoin-news\/","title":{"rendered":"FTX Warns Community of Phony ‘Debt Tokens’ and Scams Claiming to Be Affiliated With the Bankrupt Exchange \u2013 Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
\n<\/p>\n

\n
\n<\/header>\n
\n\n<\/div>\n

On Friday, debtors who control the official FTX Twitter account warned the community to \u201cbe on alert for scams from entities claiming to be affiliated with FTX.\u201d They also noted that neither FTX debtors nor any entity related to the company has issued any IOU crypto assets or \u201cdebt tokens.\u201d The alert comes as a token called \u201cFUD (FTX User\u2019s Debt)\u201d has been circulating on the Tron blockchain and is listed on Huobi.<\/strong><\/p>\n

FTX Debtors Leverage Official Twitter Account to Inform Community<\/h2>\n

FTX debtors who control the official FTX Twitter account are warning the community about entities claiming to be associated with the now-defunct cryptocurrency exchange. The company filed<\/a> for Chapter 11 bankruptcy, and the restructuring team and debtors use the official FTX Twitter account often to inform the community of updates. On Feb. 17, 2023, the debtors issued a warning<\/a>, stating that the bankrupt firm has not issued any debt tokens.<\/p>\n

\u201cThe FTX Debtors remind stakeholders to be on alert for scams from entities claiming to be affiliated with FTX,\u201d the bankrupt exchange\u2019s official Twitter account said on Friday. \u201cThe FTX Debtors have not issued any debt token and any such offers are unauthorized.\u201d<\/p>\n

FUD Token Circulating on Tron Blockchain, Listed on Huobi<\/h2>\n

As the exchange\u2019s restructuring team and debtors warn the community about unofficial tokens, a cryptocurrency issued on the Tron blockchain called FUD, or FTX User\u2019s Debt, has been circulating. Some information<\/a> about the coin is available on coingecko.com, and as of Feb. 18, 2023, it has been trading for prices between $15.05 and $16.88 per unit. On Feb. 6, 2023, Huobi announced<\/a> that it had listed FUD, with an initial supply of 20 million.<\/p>\n

\"\"
Description of FUD token from the Debtdao Twitter account.<\/figcaption><\/figure>\n

The announcement also states that the \u201cDebtdao<\/a>\u201d decided to destroy 18 million FUD. Tron founder Justin Sun discussed<\/a> the project in detail on Feb. 4, 2023, noting that the \u201cbond token represents the top-quality FTX debt asset and is set to benefit everyone in the crypto world.\u201d Coingecko.com does not list a circulating supply for the FUD token, and Tronscan shows that there are currently 2,000,000 FUD tokens<\/a>. Of this supply, 1,999,966 are hosted on Huobi, and there are only four unique holders, according to the Tron explorer.<\/p>\n

According to Coingecko.com, Huobi is also the most active exchange, and over the last 24 hours, FUD has seen $213,072 in trading volume, mostly paired against tether (USDT)<\/a>. FUD reached an all-time high of $73.97 per unit on Feb. 7, 2023, the day after it was listed, and it has since fallen 78%. The warning issued on Friday from FTX debtors and the official FTX Twitter account does not mention any specific token by name. It simply provides the web portal link where people can obtain information about the bankruptcy and restructuring process at kroll.com.<\/p>\n

\n
\nTags in this story
\n<\/h6>\n
All time high<\/a>, Bankruptcy<\/a>, Blockchain<\/a>, Bond Token<\/a>, Challenges<\/a>, CoinGecko<\/a>, community<\/a>, controversy<\/a>, Crypto<\/a>, Cryptocurrency<\/a>, debt tokens<\/a>, Debtdao<\/a>, debtors<\/a>, Finance<\/a>, ftx<\/a>, FUD<\/a>, Huobi<\/a>, Investing<\/a>, justin sun<\/a>, Kroll<\/a>, market<\/a>, restructuring<\/a>, risks<\/a>, Scams<\/a>, Tether<\/a>, tokenomics<\/a>, trade volume<\/a>, tron<\/a>, Twitter<\/a>, Warning<\/a><\/div>\n<\/div>\n

What do you think about FTX\u2019s warning about unofficial \u201cdebt tokens\u201d and the recently launched FUD token? Let us know what you think about this subject in the comments section below.<\/strong><\/em><\/p>\n

\n
\n\n<\/div>\n
\n
\nJamie Redman <\/h6>\n

\nJamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

\n
\n
\n<\/a>
\n<\/span>\n<\/p>\n<\/div>\n<\/div>\n

Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

\n

Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

\n