CEO of Binance Crypto Exchange Changpeng Zhao informedthat the situation with client deposits on the platform has stabilized. Thus, he tried to dispel the fears of investors that arose due to the short-term suspension of the withdrawal of the USDC stablecoin.
Image Source: Kanchanara / unsplash.com
«Everything seems to have stabilized. Yesterday was not the highest number of withdrawals we have processed, not even in the top 5. We handled more during LUNA or FTX crashes. Now the deposits are returned,” Zhao wrote on Twitter.
Formerly Mr. Zhao confirmed, that $1.14 billion was withdrawn from the site the day before, but reassured the public that this expense is not even among the top five largest in the history of Binance. Investors got scared when, due to the increased demand for USDC and the peculiarities of converting this stablecoin, the platform was forced to suspend its withdrawal for regarding 8 hours – I had to wait for the opening of a New York bank through which transactions pass.
The situation was aggravated by the report of the analytical company Nansen, which reported that only over the past day, $1.9 billion worth of Ethereum blockchain tokens were withdrawn from Binance, and over the past week the outflow of funds exceeded $3 billion. At the same time, the head of the company, Alex Svanevik, emphasized that the situation is very different from the collapse of the FTX crypto exchange: he estimates that Binance now has $ 60 billion, and recent spending is a very small fraction of this amount.
The head of Binance does not hide the fact that with the current weakening of the cryptocurrency market, the upcoming few months will be “bumpy” for the platform, but it has the opportunity to overcome a difficult period and, having gone through it, become stronger, the agency said. Bloomberg.
If you notice an error, select it with the mouse and press CTRL + ENTER.
