Over the past 24 hours, cryptocurrency exchange Binance has seen more than $1.14 billion in outflows due to a rise in FUD – or Fear, Uncertainty and Doubt – in the cryptocurrency ecosystem.
According to Binance CEO Changpeng “CZ” Zhao, the exchange has gone through this before, and he thinks it “is a good idea to do ‘stress tests’ on various CEXs. [exchanges centralizadas] on a rotational basis.”
We saw some withdrawals today ($1.14 billion net random). I’ve seen this before. Some days we have net draws; Some days we have net deposits. Business as usual for us.
I actually think it’s a good idea to do “stress test pulls” at every CEX on a periodic basis.
1/2 https://t.co/uF9lLPDSyS
– CZ Binance (cz_binance) December 13, 2022
We saw some withdrawals today ($1.14 billion net). We’ve seen this before. Some days we have net draws; Some days we have liquid deposits. Business as usual for us.
In fact, I think it’s a good idea to run “withdrawal stress tests” on every CEX on a rotating basis.
– CZ Binance (cz_binance)
Binance’s banking run comes a month after CZ launched a similar event on FTX, causing liquidity woes that led to the crash of the rival exchange.
Despite the rampant FUD within the crypto community, many members are optimistic and confident that Binance will weather the storm and not suffer the same fate as FTX. Others speculated that if Binance capitulated, the entire industry would be wiped out.
“If Binance collapses, we will all fail,” said Bitcoin (BTC) millionaire Carl Ronfeldt on Twitter.
If Binance collapses, we are all in bad shape
– Carl From The Moon (TheMoonCarl) December 13, 2022
If Binance collapses, we’re all fucked up
– Carl From The Moon (TheMoonCarl)
Bitcoin influencer and enthusiast Layah Heilpern shared, “Do you realize that if Binance goes down, so does everything else? Yes, #bitcoin will stay, but the entire crypto ecosystem, including stablecoins, will die.”
I don’t understand why people are cheering the collapse of Binance.
Do you realize that if Binance crashes everything else will crash? yes # Bitcoin You will survive but the entire cryptocurrency ecosystem including stablecoins will die.
– Layah Heilpern (@LayahHeilpern) December 13, 2022
I don’t understand why people are rooting for the collapse of Binance.
Do you guys realize that if Binance crashes, everything else will crash? Yes, #bitcoin will survive, but the entire crypto ecosystem, including stablecoins, will die.
– Layah Heilpern (@LayahHeilpern)
Twitter user Crypto Cognac said removing Binance would not benefit the crypto ecosystem as it would take the space “back to the stone age.”
If Binance goes down, it won’t be good for this space. Back to the Stone Age. Binance is my #1 exchange. I think Binance is good and this is a coordinated FUD campaign run by an entity that wants crypto to fail.
– CryptoCognac (CognacCrypto) December 13, 2022
If Binance crashes, it won’t be useful for this space. Back to the Stone Age. Binance is the #1 exchange. I think Binance is good and this is a coordinated FUD campaign run by an entity that wants cryptocurrencies to fail.
– CryptoCognac (CognacCrypto)
Timverse said that if Binance becomes insolvent, it will “set the industry back” by years. However, he added that cryptocurrencies will survive, as “they were around long before binance existed and they will be here even if they no longer exist.”
Binance’s bankruptcy would definitely set the industry back by several years and I agree with that.
But will the cryptocurrency industry go away.. I don’t disagree.
Cryptocurrency was here before binance came along and it will be here after– Timsverse (Timsverse) December 13, 2022
Binance’s bankruptcy is sure to set the industry back a few years.
But will the cryptocurrency industry disappear… No, I digress.
Cryptocurrencies have been here long before binance was and they will still be here even if they no longer exist
– Timsverse (Timsverse)
Cryptocurrency analyst and government advisor Del Crxpto accused the crypto media of promoting FUD about Binance, sharing, “The media is trying to cause a bank run on binance. Over the past few weeks they have tried to promote different narratives in this regard, the latest being that binance is not audited The truth is, time is #1 checking and Binance stands the test of time.”
The media is trying to cause a bank run binance.
In the past several weeks, they have tried to push several narratives in this regard, the latest one being binance Did not pass audit.
The fact is that time is revision number 1 and binance It has proven the test of time.
– DelCrxpto (DelCrxpto) December 13, 2022
The media is trying to cause a bank run on Binance.
Over the past few weeks they have tried to promote different narratives in this regard, the latest being that binance is not audited.
The truth is, time is checking #1 and Binance stands the test of time.
– DelCrxpto (DelCrxpto)
On Dec. 11, Cointelegraph reported that Binance’s proof of reserves raised red flags for accounting and financial experts and competitors called it “useless” for not including the exchange’s liabilities.
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