Topic: Binance crisis - how will it affect the crypto market? (Read 1310 times)

Cant really be still confident though because once the government do really like on taking down a particular platform specially if its against on a certain company then we cant really be that so sure nor really be that confident that they would really be able to make things that wont really happen on which as long this one isnt over yet then there's always a tendency that it would really be able to failed out in the end of the day.
For now people are still that standing strong and trust binance platform and even into its coin on which it isnt really that suffering declines or dumps which does prove out that it didnt really make out that
significant effect but well everything could happen.

They might have failed on having that kind of throwing those issues but we cant be sure on when would be the next one. Hopefully there would be no any that would come out
but im already anticipating for the next one that would really be happening.

And I think we are thinking too far though, I'm not saying that it will collapse, but it seems that the leadership of CZ and SBF is two different things. So I doubt that CZ will simply allow his project to go on that route. On the contrary, we have seen it grow tremendously since it's inception in 2017. I remember back then when it open, a lot of customers rush in to Binance and then comes the issue of registration that they need to stop for quite sometime as they can't handle the load.

But after that, CZ projected that his business will grow in billions and today in 2023, its the top exchanges that we have right now and continue to take over the next couple of years. And with regards to the Binance case against SEC, it didn't put a dent on the market.

To paraphrase "Hey, these platforms are user-friendly, secure, and they offer services that even the average Joe can navigate easily." And of course, there's always the "convenience" card you play so arrogantly.

Still, I must disagree. Inexperienced traders may be tempted by the convenience of a centralized exchange because they have everything they need in one convenient location. Is there any way to protect yourself from hackers who may gain access to your assets through these marketplaces? Doesn't that seem like giving a total stranger the combination to your safe?

Oh, and regarding your claim that the popularity of centralized trading platforms will not decrease... Repeated examples from the past illustrate that consumer trends shift as new technologies emerge. Who's to say these "newbies and lazy people" won't switch gears with the advent of DeFi and DApps?

It is difficult to say what negative effects will affect bitcoin and the market when Binance collapses. But there is no denying that they can be considered as one of the most influential players on the market today. Of course, their demise won't kill bitcoin and a drop to $5k is highly unlikely but $15k or $20k is entirely possible. I think Binance's influence is bigger than Luna and FTX combined, so it's very likely that bitcoin will drop to $15k. Although the future is unpredictable, but I firmly believe that Binance will not be able to collapse with the problems they are facing, it is not really a big problem that cannot be solved.

Of course not. The mass user is already accustomed to the level of service and opportunities provided by centralized exchangers. This is especially attractive for beginners, who, to interact with crypto currencies, require a minimum of actions. In case of any problems, support will help them, the safety of crypto assets is ensured by the exchange itself, undoubtedly, these are pluses for beginners who can make mistakes at the initial stages when interacting with crypto currencies. Convenience prevails here, which just attracts users, especially beginners. Also, platforms such as binance immediately provide a range of services in one place, it turns out that this is a wallet (moreover, it is multi-currency, since coins of completely different standards can be “stored” in one profile), a marketplace, a p2p platform, and various related small services. As for the decrease in the audience of centralized exchangers, one can only guess. There will always be newbies and lazy people who will find these exchanges more convenient to use despite losing control (which is what ownership of others would be) over their assets.

Yes, perhaps the trend towards decentralized platforms also affects the negative events with centralized exchanges ... But it seems to me that the mass consumer will not soon abandon centralized / lamp / "convenient, simple and friendly" exchanges. From the practice of communicating with people who are just starting to enter the crypt - for them Binance and P2P are an almost unsolvable technology
They are more familiar in terms of interaction. Plus there is "the usual support service", etc. a nuance that, for not-so-tech-savvy users, is a convenience.
But I perfectly understand that in 5-10 years this audience will tend to 0

I don't think a single exchange crushing will ever take the price of Bitcoin down to $5000. We tend to overrate Binance too much. They're a big exchange and the exchange with the largest amount of Bitcoin but the don't control Bitcoin. They're just big players in th Bitcoin industry.

If Binance should crash it would have negative effect in Bitcoin, not just on the price but on the adoption too. Many people who are anti crypto will have another reason to come against Bitcoin, but that doesn't mean it would be the end.
Bitcoin is decentralized entity, even though the things happening in the economy affects Bitcoin, they don't control it. I don't even think the crash of Binance will drop the price of Bitcoin below $15000.

How is it going to have a delicable impact on the market supply or demand when not everyone uses Binance to store their bitcoin and assets, most of its users are traders and exchangers, major holders don't uses exchanges, whales have more understanding of why they shouldn't try such, consider the numbers of exchanges we have, the numbers of people that uses exchanges with the number of those that have their personal wallet and those that are whales on the two sides, Binance alone is too small to push the market even if it seize to exist today, only it's users will be affected and not the bitcoin network as a whole.

Welp. Looks like it's the end of the Centralized Exchange Era in the industry. It was fun (for hackers and scammers) while it lasted but I think the whole industry's not going to be significantly impacted by this change unless the collapse happens in one fell swoop. It's not unbeknownst to many how pivotal Binance is in introducing millions of people to cryptocurrency but if we're only going for the legacy here we'd stay stagnated and the industry may die off in the process. Best to move on albeit with losses of course cause people will start selling their bitcoin holdings soon as they see the first sign of Binance's collapse but at the end of the day, recovery is still a huge possibility and with the up and coming halving and a possible bull run, if things go well we might not even worry bout Binance's shenanigans anymore.

Be that as it may, if you read the latest news about Binance, it doesn't look very positive:
-The bitcoin exchange Binance has cut more than 1,000 employees in recent weeks. This is reported by The Wall Street Journal, citing its own sources.
According to their sources, layoffs are ongoing and the company could lose up to a third of its staff of about 8,000.
Reductions are taking place around the world and, according to former employees of the exchange, mainly affected customer service.
A Binance spokesperson confirmed to the publication that the company is laying off workers, but declined to give specific figures.
- Bitcoin exchange Binance is preparing to cut corporate benefits for employees, citing declining profits. This is reported by The Wall Street Journal. Since June 19, the company has stopped offering certain benefits, including reimbursement for mobile, fitness and telecommuting.
- During the launch of Binance's US division in 2019, bitcoin trading volume exceeded $70,000 in the first hour. This was reported by The Wall Street Journal.
According to a note by the head of the company Changpeng Zhao (CZ), which was familiarized by journalists, the demand came not from external traders, but from the platform itself.
The WSJ authors said this situation could signal "fictitious trading," making it difficult for regulators to assess the depth of the market.
Back in 2022, the agency became interested in Zhao-affiliated trading firms. One of them was Sigma Chain, which was a market maker and, according to the SEC, owned by CZ himself.
The WSJ noted that Sigma managed dozens of accounts on the platform. The regulator claimed that the day after the launch of Binance.US, fictitious trades between market maker accounts and exchange employees accounted for nearly 70% of trading volume.
- Binance has withdrawn its license application in Germany

Although they are the best exchange, they always give the best user experience but don't trust what they promise, especially the safety of our assets. Because there is no guarantee that they will be immune to all hacker attacks or can guarantee that they will never crash. We should still have backup plans for the worst case scenario because everything will always be fine until it crashes. The future is unpredictable and nothing is certain.

All crypto community hope nothing bad happens to Binance because it will impact the whole cryptocurrency market, I can't imagine what the lowest bitcoin price will be in case of global binance and efforts to restore confidence in crypto market will be very difficult because public will not trust any centralized exchange except DEX.

I reviewed the development history of the binance company on wikipedia, binance was founded with a very long process until now through various problems/obstacles and CZ's dedication to the development of binance must be appreciated because he is on the side of investors and protects customer funds from any impact that happens to the internal exchange. I understand that every investor/trader should increase the security in managing funds on any exchange because we never know the future impact on the exchange, but I analyze something different on binance compared to other exchanges, because of their commitment to developing the best and safest exchange services for the crypto community.

It's hard to predict what will happen, but I also believe that Binance will overcome the challenge this time because what happened was only around Binance.us and the SEC and not the global Binance. But let's also take into account that they collapse for any other reason and that would be a cataclysm for crypto industry. Everything is possible with cryptocurrency, nothing is impossible with crypto market. So always have a backup plan for yourself.
I love every time bitcoin and the market go down because I get bought cheaply, but with the collapse of Binance going to seriously affect the market, I don't want that to happen.

Yes binance is largest crypto exchanger in the world. It’s crisis Impact on all cryptocurrency. And i think binance will overcome gradually this this crisis. Because they are very positive to overcome this crisis. Already xrp won from the case with SEC. So i think Binance will also overcome there has no doubt. But if unfortunately they unable to overcome crisis will be longer. And for that a big negative impact will creat for cryptocurrency market. And bitcoin price and all altcoin price will fall but if they able to overcome soon crypto currency market will boom there has no doubt. And we wish for Binance.

Problem. Yes, sir. especially for Hodler, their waiting period will increase because the price yesterday and today still hasn't spiked and the previous Binance target will be $1000 if I'm not mistaken reading last year's news. but, with a note that if BTC goes to $ 100,000 first..

But, for those who have just entered, this is the moment you have been waiting for. When else can you get BNB at very affordable prices.

A crisis that occurs on Binance will certainly have a big impact on the market, as we know that Binance is the largest and most influential exchange, if there is a crisis there will be a big storm and maybe it can make the bitcoin price drop below $ 5000. but I have withdrawn BNB and ETH 2 times on binance and everything is fine.

Binance is not the only crypto exchange in the industry.  If we look at the reputable one, there are many.  So I do not think that the problem with Binance will impact the cryptocurrency industry for too long.  It will be short-lived and the cryptocurrency community can easily cope on the changes if somehow Binance got a problem and got shut down.  It will just have a short time FUD but eventually the market will recover before we know it.  Though I still hope that Binance will be ok after all these cases filed against them.

At this time, dependence on Binance is clearly unavoidable because you are right in saying that Binane has given trust to its users and given the best so far, by never doing anything that disappoints. binance has penetrated into all sectors and continues to innovate to make its users feel comfortable and helpful. but I believe whatever is happening at the moment on binance, they will be able and able to solve it as best they can and they will not damage this good reputation, there will definitely be a solution.

The problem is not the attacks. The problem is that Binance seems to have real problems in the form of violations, and very serious ones! You can see that the stated claims of the SEC are about restrictions on transactions for US citizens, France - about money laundering, Australia also has some kind of third party suspicions. Plus there were very serious accusations of helping to withdraw funds from the sub-sanctioned individuals as well as using Binance mechanisms to support the terrorist regime in Russia.
And plus the departure from the company of top managers who openly declare problems within the company - this is a very bad "bell"...

On the one hand - it would be very unfortunate for such a platform to leave the market... On the other hand - the inevitability of punishment for crimes or aiding and abetting crimes is the basis of normal life.

I don't want to imagine that something could happen to the Binance exchange. Now it looks powerful and even the attacks of the SEC and other regulators cannot affect this powerful authority of the exchange. This is not even an exchange, but already an entire ecosystem. Binance earn, p2p, and many other functions make it the number one exchange.

At the same time, we can judge public opinion about the exchange by the BNB token. And at the moment its price is low relative to past levels, and it looks quite attractive to buy.
Almost 1/3 of ATH!