Elon Musk unleashes a storm of speculation by following OKX Crypto Exchange on Twitter

This is not investment advice. The author has no position in any of the stocks mentioned. Wccftech.com has a disclosure and ethics policy.

When a mega-billionaire like Elon Musk, newly laden with over $3 billion in cash, follows an entity on Twitter, speculative mania and rumors ramp up; This is the way the world is now. Today, cryptocurrency exchange OKX is on the receiving end of an aggressive speculative exercise after a quasi-approval from Tesla CEO.

Source: https://twitter.com/elonmusk/following

To wit, Elon Musk now follows OKX’s Twitter account.

This is unusual for a number of reasons. First, Elon Musk was able to secure $500 million in equity commitments from cryptocurrency exchange Binance for the Twitter acquisition. However, it seems that this contribution was not enough to entice Musk to follow the Binance account on Twitter. In fact, OKX is the only cryptocurrency exchange that Musk is following on Twitter at the moment.

Second, just yesterday, Elon Musk revealed that he sold 21.995 million shares of Tesla over the past few days, making $3.58 billion in the process. With the purpose of Musk’s latest liquidation spree shrouded in secrecy at the moment, this obfuscation is fueling speculation That the CEO of Tesla and the interim CEO of Twitter may be considering acquiring OKX.

Third, Elon Musk’s follow-up to OKX comes at a time when the exchange has just listed the Floki Inu token – a competitor to Dogecoin. This predictably energized Floki Inu’s bulls. For starters, the roots of Floki Inu go back to June 2021 when Elon Musk tweeted about his intention to acquire Floki, a Shiba Inu puppy. Floki Inu developers sensed a historic opportunity to capitalize on the meme currency trend by launching another dog-inspired cryptocurrency. The project claims to be affiliated with the Million Gardens Movement, a philanthropic initiative led by Elon Musk’s brother, Kimball Musk.

Of course, centralized cryptocurrency exchanges (CEXs) aren’t the safest place to invest right now after the FTX crash, which unleashed an unprecedented demand for transparency from investors. In fact, Binance and other CEXs have tried to appease this growing pool of transparency by publishing their Proof of Reserves data. Binance has gone a step further by tasking Mazars with conducting an “audit” of its reserves. However, the auditor’s press release noted the limited nature of its involvement with Binance, which precluded the process of obtaining any actual “evidence” that would have allowed the auditor to form an opinion. To a large extent, Binance’s Proof of Reserves certificate has been hidden around the exchange’s liabilities. This controversy has now prompted Mazars to abandon any dealings with crypto entities.

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For its part, OKX has also attempted to provide greater transparency by publishing its on-chain holdings on Nansen, announcing Proof of Reserves based on Merkle Tree, and launching a self-audit feature. However, it remains unclear whether Elon Musk is even considering acquiring OKX at this point, beyond vain conjecture that will likely continue until more clarity is provided on Musk’s intentions. In the meantime, investors eyeing forward action for potential moves by Elon Musk – either by injecting the OKX native token or buying Floki Inu coins – should be very careful because the likelihood of any such eventualities happening is very slim at this point, especially Musk still faces a $258 billion lawsuit for allegedly running a pyramid scheme with respect to Dogecoin.

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