Topic: Is the Binance the next to bite the dust or FUD? - page 3. (Read 2420 times)

@Rikafip. I reckon it might be safe to speculate that Binance will close their doors on the US market, however, binance.com might continue to exist and operate. But it might become a forgotten exchange very much similar to Poloniex by the time the next bull market arrives. It might also have the same owner as Poloniex if CZ retires hehehehehe.


The year is 2026. Binance announces their new CEO

Exodus at Binance.us continues as both head of legal and chief risk officer also left the company. I guess rats are leaving the sinking ship.  

Source: https://www.theblock.co/post/251128/binance-us-legal-executive-chief-risk-officer-leave-the-exchange-wsj


Their goal is probably to survive until the next bull run when all of this will be forgotten, therefore all those lay offs so yeah, I think that they will survive until then.

News update.

Another binance.us CEO has bitten the dust and according to this article, more than 100 employees have been removed from the exchange. How many more months does everyone speculate does binance.us have? Will it continue to exist after the next halving of bitcoin?

We cannot be quite certain how many more times CZ can hold the fingers 4 hehehe.



Binance.US Chief Executive Officer Brian Shroder has left the crypto trading platform and been replaced on an iterim basis by Chief Legal Officer Norman Reed, according to a company spokesperson. The departure comes as the company controlled by embattled digital entrepreneur Changpeng “CZ” Zhao is eliminating about one third of its workforce, or more than 100 positions, as a regulatory crackdown erodes its business.

It’s the second round of job cuts this year at the Miami-based firm as it faces a series of mounting legal and operational challenges. In June, the US Securities and Exchange Commission accused Binance Holdings, Zhao and Binance.US with mishandling customer funds, misleading investors and regulators, and breaking securities rules. Zhao and the companies have denied the allegations.

Source https://www.bnnbloomberg.ca/binance-us-ceo-departs-as-crypto-platform-cuts-third-of-staff-1.1970552

I am laughing it this news development. CZ accuses the SEC of a fishing expedition It might uncle Gary's turn to show everyone 4 fingers and tell CZ and everyone in social media that it is nothing but FUD hehehehehe.

In any case, it appears Binance might not be taken down this year. Next year might be another story, however.



Binance has asked a court for a protective order against the United States Securities and Exchange Commission, accusing the regulator of undertaking a “fishing expedition” with its discovery requests.

In an Aug. 14 court filing, Binance argued while it’s worked in good faith with a June court order, the SEC has served overly broad and unreasonable discovery requests that seek “every single document in [Binance’s] possession related to customer assets.”

“BAM has worked in good faith, but the SEC has been steadfast in its belief that the Consent Order gives it carte blanche to investigate every aspect of BAM’s asset custody practices without any discernible limitation whatsoever,” it stated.

Source https://cointelegraph.com/news/binance-files-motion-for-protective-order-against-sec

There is nothing to hate here because nobody expected anything differently, adoption by governments is great for BTC, but the truth is that governments are centralized, so they are going to promote a centralized way of using BTC to their people. Most citizens in El Salvador don't use BTC, they don't even understand enough about it, and it is partly due to how their government introduced it to them.

The Chivo wallet that was created by the government of El Salvador is also a centralized wallet, and i don't think many citizens in El Salvador know how to use self custody wallets. Now with Binance licensed in the country, some of them will also start using the exchange to store their funds and to seek for APY. That is why i said there is nothing to hate here, the government of El Salvador would do what they think they can benefit from, but the trade-off here is that people will find it hard to understand and use BTC the way it should be used.

CZ is very lucky to be in a jurisdiction that is as friendly as El Salvador and with a president who is very progressive like Nayib Bukele. I reckon some there might be maximalists who hate CZ will certainly be annoyed by this news hehehe. It is also head shaking that these type of people would support uncle Gary's crackdown on the cryptospace because of this hate.

El Salvador is one of the first countries to be friendly to Bitcoin, and its president worked to adopt Bitcoin payments, considering Bitcoin an official currency, like the local national currency and the dollar as well (the dollar is used in El Salvador in parallel with the local currency) and therefore citizens have the right to buy, sell and store Bitcoin without any obstacles, especially since the government has issued an official wallet app and has distributed a number of ATMs to various provinces. At the same time, several platforms provide trading services to the citizens of El Salvador. Now what happened after Binance obtained the activity license? The state has become able to track the activities of citizens and can track the financial activities of any citizen based on an official government request that it submits to Binance, and the platform is obliged to provide data to the government. This matter was not previously possible because the platforms that provide services to citizens did not conduct any procedure or contract with the government, that is, they are not registered in the state system. Just like Indonesia did when the government launched a trading platform that enables it to monitor the financial transactions in crypto for citizens instead of granting licenses to private companies.

As for Binance, it definitely got more privileges after officially registering as a recognized platform at official level, because I do not imagine that the Salvadoran market is very important, given the percentage of users out of the total population.

binance obtains bitcoin and crypto license in salvador

https://www.binance.com/en/blog/ecosystem/binance-becomes-first-fully-licensed-crypto-exchange-in-el-salvador-348306456147004721

News update. This is really 4 day old news hehe.

However, it appears CZ did not only promote Kristen Hecht for her qualifications. She might have been promoted because of her connections within the American government. Kristen worked in the US department of treasury as a senior policy advisor from 2006 to 2014 under the Bush and the Obama administrations.



Binance has appointed Kristen Hecht as its new deputy chief compliance and global money laundering reporting officer, a new role to oversee both areas as the exchange grapples with potential fraud charges from U.S. regulators, the company announced Thursday. Several top legal and compliance executives have left the exchange in recent weeks, reportedly because of the strain of dealing with multiple investigations into its practices, although Binance denies this is the case.

Hecht is a familiar face at Binance, having previously served as the global head of corporate compliance at the exchange for the past eight months, after working as the chief compliance officer at Meta’s crypto wallet project, Novi Financial, for less than two years. Earlier in her career, Hecht was a senior policy advisor at the U.S. Department of the Treasury.

In her new role, Hecht will primarily work on the company’s compliance program while also engaging with regulators, intergovernmental organizations and industry bodies, according to a press release. She will be working closely with Noah Perlman, who is replacing Hecht as Chief Compliance Officer.

Source https://www.coindesk.com/business/2023/08/03/binance-appoints-new-compliance-officer-as-regulatory-crackdown-intensifies/


Let us wait what new developments will come out from this.

You might be right. It is easier to give up in jurisdictions that they do not really need and fight for the jurisdictions where much of their profits come from hehehe. Also, once all of their legal battles are won in these important jurisdictions, CZ might also begin fighting to capture those less important jurisdictions back again hehe. There is an old tactic where a general should concentrate his men and armaments in the most important points to win the war.

Transferring your coins from Binance to Kraken only gives you a false sense of security, they are both centralized exchanges and the risks are the same thing, there is also the risk of a domino effect, and if Binance bites the dust, some other exchanges will be affected as well as platforms that are exposed to them. If you are moving funds out of Binance, it should be to your self custody wallet.

It is always about the money; countries like Belgium or the Netherlands are so small and the market for crypto is pretty small also. A lot of people either don't know about crypto or think it is a scam. I also don't really know why the Belgium government is going after Binance but that's another discussion. Luckily I can still use Kraken without any problems and that has always been my nr 1 exchange.

For money, basically, and prestige. The GDP of the USA is $23.32B, while that of Belgium mentioned by Babygun is $0.6B. There is a big difference. Leaving the US and leaving Coinbase as number 1 there doesn't seem like an interesting move from a competitive standpoint either. Other than that I guess they will have a legal team looking at possible future actions, and the SEC has had a setback in court recently that you echoed.

@babygun. What is head scratching here is Binance left certain jurisdictions voluntarily maybe to avoid any legal battles, however, they are staying in America despite knowing that there might be the risk that uncle Gary might start a legal battle. Why is this? Why is America very much important for CZ and he is beginning to be so annoying for uncle Gary and the SEC?

More and more governments are going after Binance (and some other exchanges) and while it will always be a legal battle and can end up in fines, Binance need to cease their operations in a number of countries in Europe (including Belgium: https://fortune.com/2023/06/23/belgium-orders-binance-to-cease-operations/).
While you can still login right now and access your account, I didn't trust it anymore and transfered all my coins to Kraken and cashed out the BNB I had staked over there.

News update.

Since when does the government care about the consumers? For the skeptical me, it appears that they cannot charge Binance with anything without fighting a legal battle that they might lose. Their only choice might be to presently make it appear that they are being sensible hehehe.

A fine is a victory for CZ. This is a bullish fine hehehehe.



The United States Department of Justice is reportedly considering charging cryptocurrency exchange Binance with fraud, but hesitating based on costs to consumers.

According to an Aug. 2 Semafor report citing people familiar with the matter, Justice Department officials are concerned about an indictment against Binance causing a run on the exchange similar to what happened with FTX in November 2022. They are reportedly considering fines or non-prosecution agreements for Binance rather than criminal charges in an effort to reduce the harm to consumers.

Binance was already reportedly the target of a criminal probe in the U.S. for allegedly violating the country’s sanctions on Russia. The U.S. Securities and Exchange Commission also filed a lawsuit against the crypto exchange in June for allegedly offering unregistered securities and operating illegally, and the Commodity Futures Trading Commission targeted the exchange and CEO Changpeng “CZ” Zhao in March for allegedly violating trading and derivatives regulations.

Source https://cointelegraph.com/news/us-doj-concerned-binance-run-prosecutors-fraud-charges

Agreed that it has only a low chance to occur, however, witnessing Justin Sun buy Poloniex and rumored to be behind the group that moved on the takeover of Huobi, I would not be shocked if he also purchased Binance.

Justin Sun is also the issuer behind the stablecoin TUSD which 90% of this is used in Binance as an unofficial replacement for BUSD.

In one of the earlier posts in this thread you said that behind CZ and Justin might be chinese money (which I woulnd't be surprised is the case btw). So, let's say for the sake of argument that CZ is indeed backed by China, do you really believe that they will let him being arrested and sent to US jail? I honestly don't think so.


I know that you like to make an "interesting" predictions, but I wonder how often they turn out to be true?

He has a lot of money and will hire a lot of very smart lawyers. Remember it's one set of rules for the rich and another set for the rest of us. He'll be able to either argue or bribe his way away from jail, I'm sure.

If there is one person you should trust less than CZ in this space, it's Justin Sun. He is a plagiarizer and a scammer.

I disagree on CZ not going to jail. He was the trigger that caused the collapse of FTX and exposed Sam Bankrupt-Fried as a fraud. The rumor is Sam is a pet of uncle Gary and the Democratic party's boy for their moneylaundering operations. I would not be shocked if there was some truth to this because Sam's parents have some connections to the Democrats, his mother is also rumored to be close to Hillary Clinton. It is not a surprise that Sam is one of the biggest donors to the Democratic party hehehe.

In any case, there might be people in the government who will use everything in the law to witness CZ go to an American jail. This might also be seen as good for their war against China storyline.

@Rikafip. My prediction, CZ will resign or be removed as CEO and Justin Sun will buy Binance and continue to operate as a small exchange similar to Poloniex.