Binance Stabilizes After Cash Settlement!


Binance, one of the world’s largest crypto exchanges, is experiencing monetary stabilization outflows following a recent $4.3 billion settlement with US regulators and departures founder Changpeng Zhao, according to blockchain analytics firm Nansen. Although they are approx assets worth a billion dollars left the platform after the announcement of the settlement, Nansen reports that there are no indications of a massive outflow of funds, as was feared.

Net outflows, which refer to more funds leaving the stock market than entering, they reached $956 million in the last twenty-four hours, which was recorded by 6:30 hours ET this Wednesday. However, there is a visible trend of slowing down of this outflow.

The speaker from Nansen pointed out that it is a question of significant cash outflows, compared to of Binance’s total supply, but that it is still a relatively small amount compared to over 65 billion dollars that are still on the platform.

Tether (USDT) and Bitcoin (BTC) accounted for most of the inventory on Binance, each with nearly 19 million dollar value at the time of the report. Additionally, there are about 2.8 billion on the stock market dollars worth of Binance Coin (BNB), and the price of BNB was $231.50, reflecting down 9.3% in the last 24 hours.

https://x.com/nansen_ai/status/1727288174861266972?s=20

Binance has agreed to a $4.3 billion settlement, according to a US Department of Justice announcement of the judiciary, which included the payment of a fine for violating the law against money laundering. Founder Changpeng Zhao, known as “CZ”, also accepted to step down from the position executive director.

Despite the significant financial consequences, participants in the crypto industry believe that it would guilty pleas by Binance and Zhao could have a positive impact, especially since they will stock exchange to continue with business. On Tuesday, Zhao published a detailed review, naming the former global director for regional markets, Richard Teng, as the new CEO.

https://x.com/cz_binance/status/1727063503125766367?s=20

Market reaction to the recent events surrounding Binance has been extremely mixed, while some experts from this branch of industry, such as the executive director of ETC Group, Tim Bevan, expressed the belief that Binance will be able to absorb the financial penalties. On the other hand, others call investors to transfer their funds to “hard” wallets to further protect theirs property in light of recent events.

Binance’s new CEO, Richard Teng, confirmed strong business fundamentals and financial stability of the exchange. In his statement, he referred to the announcement by the CEO of Coinbase, Conor Grogan, who claims Binance has $6.35 billion in total assets, excluding funds held offline or in wallets.

Stefan Rust, CEO of Truflation, pointed out that although the penalty paid by Binance significant, it is relatively small compared to the financial reserves of the platform itself. Rust highlights Binance as an extremely financially sound company, suggesting that it will be able to to successfully overcome the challenges that have been set for her.

Read more from the blog

News

3 May 2023

StoneBlock CEO: Nervous investors will be eliminated from the market

News

3 Jun 2024

OKX LAUNCHES CRYPTO EXCHANGE AND WALLET IN THE NETHERLANDS 

News

3 Jun 2024

BITCOIN TRANSACTIONS HIT YEARLY HIGH WITH $25B MOVED