Shark Tank star Kevin O'Leary accuses Binance of putting FTX out of business

Shark Tank star Kevin O'Leary recently testified before U.S. Congress regarding the collapse of cryptocurrency exchange FTX. In his testimony, O'Leary claimed that rival exchange Binance intentionally put FTX out of business by refusing to comply with regulators' requests whenever FTX applied for a license in different jurisdictions.

O'Leary said that he learned about a $2-3 billion transaction to repurchase FTX shares from Binance during a conversation with former FTX CEO Sam Bankman-Fried. O'Leary believes that this transaction stripped FTX's balance sheet of assets, leaving the exchange vulnerable to collapse. He characterized the situation as a "war" between Binance and FTX, with Binance ultimately "putting FTX out of business."

O'Leary stressed that this is his personal opinion, and he did not mention any charges of fraud or wrongdoing against either FTX or Bankman-Fried. However, Bankman-Fried has been arrested and denied bail in the Bahamas.

Despite the collapse of FTX, O'Leary said that he still believes in the crypto space and in Bankman-Fried as a trader. He revealed that he was paid $15 million to become FTX's spokesperson, and that he almost secured $8 billion to save the exchange from bankruptcy. O'Leary said that if Bankman-Fried had another venture, he would back him again.

O'Leary's testimony before Congress sheds light on the complex and often murky world of cryptocurrency exchanges. While O'Leary's claims against Binance are largely based on his personal opinion and are not confirmed, they raise important questions about the role of exchanges in the crypto space and the potential for conflicts of interest.

It is not clear what the outcome of O'Leary's testimony will be, but it is likely to be closely followed by those in the crypto industry and beyond. As the use of cryptocurrencies continues to grow and evolve, the actions of exchanges will be increasingly scrutinized by regulators and the public alike.