CZ dismisses concerns over whether Binance could handle a $2.1 billion withdrawal.
The CEO confirmed that the crypto exchange could meet 100% of withdrawals on its platform.
Binance has very solid revenue, CZ added.
Binance can meet withdrawals on its platform
Changpeng Zhao (CZ), the CEO of Binance,& told CNBC in a recent interview that the cryptocurrency exchange has what it takes to meet 100% of its withdrawals.& Binance is the world’s leading cryptocurrency exchange and has been in the spotlight recently, following the collapse of FTX.&
When asked if Binance can withstand a $2.1 billion request on its platform, CZ said;
“People can withdraw 100% of the assets they have on Binance; we will not have an issue on any given day. Binance doesn’t operate on a fractional banking system.”
He added that cryptocurrency businesses should hold user assets 1-to-1, and that is what Binance does.
CNBC quoted the US bankruptcy code, which states that if bankruptcy proceedings can establish that a payment was carried out via proceedings of fraud or that an individual should have reasonably known that a payment was fraudulent, any beneficiary in a two-year lookback window can have their gains clawed back by the trustee.&
When asked if Binance is prepared to send that money to them, CZ replied that;
“I think we’ll leave that to the lawyers. I think our legal team is perfectly capable of handling it. “We have very solid revenue.
Kevin O’Leary blames Binance for FTX’s crash
In a recent hearing by the House Finance Committee, Kevin O’Leary& accused Binance of intentionally crippling FTX. O’Leary was a former spokesperson for the now-defunct FTX exchange. He said;
“Now, maybe there’s nothing wrong with that &- maybe there’s nothing wrong with love and war. But Binance is a massive, unregulated global monopoly now. They put FTX out of business &- now, lots of other reasons, I’m sure. But that’s my personal opinion.”
Earlier this week, blockchain analytics provider CryptoQuant revealed that it had& verified Binance’s proof of reserve in its recently released audit report after it analysed the recently released proof-of-reserves by Binance.&
The report put to bed the FUD storm that has been circulating following the recent surge in withdrawals.
The post We can meet 100% of withdrawals, says Binance’s Changpeng Zhao appeared first on CoinJournal.
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