Binance CEO Changpeng “CZ” Zhao has denied allegations that Binance secretly sold Bitcoin (BTC) to artificially stabilize the price of its native token Binance Coin (BNB).
These rumors come from a number of market analysts, including Dylan LeClair and the CEO of Swan Bitcoin, Cory Klippsten. They alleged that Binance intentionally interfered in the market to artificially increase the value of BNB.
In a June 13 tweet, CZ asserted that Binance is not selling any of its BTC or BNB. He also said that the crypto exchange still keeps some FTX Tokens (FTT) in their “pocket”. FTT is the native token of the crypto exchange FTX, although Binance is no longer related to FTX.
Responding to the allegations, CZ added: “It’s amazing how they can tell exactly who sold based on price charts involving millions of traders. FUD.”
CZ’s post is a direct response to a post from Skew, a technical analysis platform. Skew has accused Binance of manipulating the market through a series of transactions involving BTC, BNB, and Tether (USDT).
CZ believes that Binance is taking measures to prevent the collapse of BNB as well as BTC. However, no specific information about those measures was mentioned in CZ’s response.
In the same issue, Bitcoin analyst Dylan LeClair made the claim that “BNB is clearly a fake market” with less actual trading volume compared to BTC.
On Twitter June 13, Cory Klippsten, CEO of Swan Bitcoin, also alleged that Binance is engaging in “wash trading” and claimed that Binance is “trying to pretend” to have support for BNB .
Analyst Joe Consorti from The Bitcoin Layer described BNB’s price action as “unusual” with the $220 price being “strongly defended”. He suggested that this price level could be related to the liquidation process for BNB-collateralized loans.
In response to CZ’s post, Joe Consorti asserted that Binance should publish an audited statement that proves that Binance does not have any debt collateralized by BNB. He thinks this will put an end to the doubts and rumors (FUD) related to Binance.