Binance deploys $1 billion to keep crypto industry afloat after FTX collapse

• Binance said it will devote $1 billion in initial commitments to the recovery fund.
• It may increase that amount to $2 billion at a point in time in the future “if the need arises,” the company added.
• Since FTX’s rapid winddown, investors have worried about a crypto contagion affecting every corner of the industry.

Cryptocurrency exchange Binance on Thursday announced new details about its industry recovery fund, which aims to prop up struggling players in the wake of FTX’s calamitous bankruptcy.

In a blogpost, Binance said it will devote $1 billion in initial commitments to the recovery fund. It may increase that amount to $2 billion at a point in time in the future “if the need arises,” the company added.