FET suffers 2% decline as whales deposit Fetch.AI tokens to exchanges
- FET whales deposit their holdings to centralized exchange Binance on Wednesday.
- Fetch.AI minted nearly $3 billion in FET tokens to support the ASI token exchange.
- FET loses more than 2% on the day, down to $2.2765.
Fetch.AI (FET) token will be the reserve currency of the Superintelligence Alliance (ASI), a merge of three Artificial Intelligence (AI) projects: Fetch.AI, Ocean protocol and SingularityNET. The Fetch Foundation minted additional tokens to meet the needs of the ASI alliance.
Fetch Foundation mints 1.48 billion FET
Three crypto AI projects, Fetch.AI (FET), Ocean Protocol (OCEAN) and Singularity NET (AGIX) have joined forces in an alliance, called the Superintelligence Alliance. The token of the new entity is ASI, Artificial Superintelligence token.
OCEAN and AGIX holders can exchange their assets for FET, the reserve currency. FET will be exchanged for ASI, at 1:1 ratio.
To meet the need for FET as the reserve currency, the foundation minted 1.48 billion tokens, worth $2.96 billion, five days ago. The new supply of FET is 2.63 billion. With a massive increase in supply, FET’s large wallet holders have taken to exchanges to shed their asset holdings.
Data from crypto intelligence tracker Spotonchain shows that two whale wallets which received FET from the foundation have deposited 1.47 million FET to the centralized exchange platform Binance.
In April the two whale wallets identified by Spotonchain deposited 4.9 million FET tokens to Binance, and a correction ensued in the AI token shortly after the deposit. This is typical of whales shedding their holdings to exit a position and take profits.
Wallets linked to @Fetch_ai are depositing $FET to #Binance after the massive minting!
— Spot On Chain (@spotonchain) May 8, 2024
In the past 13 hours, two wallets, 0x633 and 0xbb0, which received tokens from the Fetch foundation, deposited 1.47M $FET ($3.59M) to #Binance.
Notably:
• Fetch foundation minted 1.48B $FET… pic.twitter.com/JcsdbUJNOJ
FET is down 2.50% on the day, as holders digest the token mint and whales offload their holdings on exchanges. FET is trading at $2.2765 at the time of writing.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
