In recent times, some high-ranking employees have been consistently announcing their departure from Binance, causing concerns about the exchange’s operations. People are wondering if Binance is heading down the same path as FTX.
Shortly after these departures, CZ, the CEO of Binance, quickly reassured users and investors. He expressed optimism, asserting that Binance still maintains the highest liquidity in the market. Therefore, he believed that following FTX’s footsteps would be unlikely.
“Crypto analysts at Kaiko have analyzed the status of the eight largest digital asset exchanges. As you can see in the chart below, Binance is still leading the rankings.”
Currently, Binance holds 64.3% of the total trading volume and 30% of the total market depth.
“There have been plenty of negative rumors and news, such as lawsuits, branch closures, discontinuing partnerships, halted product development, employee turnover, scams, and withdrawal issues. But what do we have? No liquidity problems. All withdrawals (and deposits) are being processed accurately. All customer funds are safe and 100% guaranteed.”
In addition to emphasizing the platform’s stability and liquidity, CZ also highlighted recent ups and downs for Binance.
In March, the Commodity Futures Trading Commission (CFTC) filed a lawsuit against the company for violating derivative trading rules.
In June, Binance continued to face pressure from the SEC, with allegations of unregistered securities trading and the personal use of customer funds.
On August 31st, Binance announced the discontinuation of support for the BUSD stablecoin. This was a necessary move to protect the platform after the SEC filed a lawsuit against Paxos, the company behind BUSD.
Recently, Binance declared that it would stop supporting NFTs on the Polygon network at the end of September. After September, the exchange will only allow interaction with NFTs on Ethereum, BNB Chain, and Bitcoin.
It’s evident that at the end of 2022, due to the FTX crisis, users rushed to withdraw their funds from Binance, with billions of USD leaving the platform in just a few days. However, as the “big brother” in the market, Binance handled this smoothly and continued to thrive.