Is the Binance the next to bite the dust or FUD? - page 4.

dansus021

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Quote from: o_e_l_e_o on July 13, 2023, 03:25:17 AM

Binance are never going to publish numbers which show they are insolvent. Just like their "proof of reserves", they will fudge, obfuscate, and outright lie in order to appear fully backed up. But we've literally just seen proof that they are running fractional reserve, despite all these lies.

I am also curious about a centralized exchange like what FTX did, basically Centralized Exchanges get money from fees right so why do they still use some of the user money Grin

I mean they got a commission from every trade literally every buy and sell that happens on the exchange.

and in this case, FTX is the second biggest CeX before collapses they should have a bunch of money from transactions and other fee like withdrawal fee right?

o_e_l_e_o

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Quote from: bbc.reporter on July 11, 2023, 12:38:42 AM

It appears there are BCH tokens issued in other networks like Binance smartchain?

That's irrelevant, though. There will never be a shortage of tokens on Binance smartchain because Binance can and do just create more out of thin air whenever they need them. This was someone trying to withdraw actually Bcash, which revealed Binance do not have the reserves they claim to have.

Quote from: dansus021 on July 13, 2023, 01:53:10 AM

maybe you guys should check this website regulary https://www.binance.com/en/collateral-btokens if play with smart chain of BNB

Binance are never going to publish numbers which show they are insolvent. Just like their "proof of reserves", they will fudge, obfuscate, and outright lie in order to appear fully backed up. But we've literally just seen proof that they are running fractional reserve, despite all these lies.

dansus021

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Quote from: bbc.reporter on July 11, 2023, 12:38:42 AM

It appears there are BCH tokens issued in other networks like Binance smartchain? However agreed, this is very concerning. This is very much similar to what I have been saying before, anything in an unregulated environment that can fractionalize will fractionalize.

Are they?

But yes to make binance smart chain popular Binance start to peg everything from bitcoin usdt usdc and other tokens from ERC 20 asset bring to the smart chain, tho they say it is 100% peg with real asset but sometimes depeg or the original balance less than the peg token

maybe you guys should check this website regulary https://www.binance.com/en/collateral-btokens if play with smart chain of BNB

bbc.reporter

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Quote from: o_e_l_e_o on July 10, 2023, 02:45:10 PM

Quote from: wavessurfing on July 10, 2023, 11:10:57 AM

https://www.reddit.com/r/btc/comments/14v9lqn/binanceus_runs_out_of_bch_freezes_bch_withdrawals/

binance us lacks of BCH and freezes withdrawals..

I mean, if anyone still didn't think Binance are running a fractional reserve system after their failed "proof of reserves" debacle, then this must be the thing that convinces you otherwise. "There's been a temporary shortage in the concentration of BCH on the BCH network"? Lmfao. What does that word salad bullshit even mean?

It appears there are BCH tokens issued in other networks like Binance smartchain? However agreed, this is very concerning. This is very much similar to what I have been saying before, anything in an unregulated environment that can fractionalize will fractionalize.

In any case, on my speculation that Justin Sun might save Binance, it might be the beginning hehehe. Justin Sun controls the private key that mints and issue TUSD. If this is 100% backed or not, we cannot be certain.

Binance holds almost 90% of TrueUSD after a recent spike that saw more than $2 billion of the dollar-pegged stablecoin move to the world’s largest crypto exchange.

Source https://www.dlnews.com/articles/markets/binance-controls-90-percent-of-stablecoin-trueusd-supply/

o_e_l_e_o

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Quote from: wavessurfing on July 10, 2023, 11:10:57 AM

https://www.reddit.com/r/btc/comments/14v9lqn/binanceus_runs_out_of_bch_freezes_bch_withdrawals/

binance us lacks of BCH and freezes withdrawals..

I mean, if anyone still didn't think Binance are running a fractional reserve system after their failed "proof of reserves" debacle, then this must be the thing that convinces you otherwise. "There's been a temporary shortage in the concentration of BCH on the BCH network"? Lmfao. What does that word salad bullshit even mean? I mean, everyone knows Bcash is a shitcoin, but it's not so shit that suddenly large amounts of it disappear from the network and cause a shortage. Lol.

This is literally Binance being caught red handed running fraction reserve, and making up complete bullshit in the hope the vast majority of users won't understand what they are reading.

wavessurfing

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https://www.reddit.com/r/btc/comments/14v9lqn/binanceus_runs_out_of_bch_freezes_bch_withdrawals/

binance us lacks of BCH and freezes withdrawals..

bbc.reporter

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@o_e_l_e_o. I have also been seeing those type of comparisons in social media recently. Maybe 1 month ago if someone asked me if uncle Gary would be successful in taking down Binance, I would certainly answer no. Presently if asked the same question, I would be shocked if CZ gets out of this difficult situation without a fine.

However, if he is only fined and allowed to continue to operate Binance, I would consider this a victory. Pump bitcoin to $40k quickly!

o_e_l_e_o

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Quote from: FinneysTrueVision on July 06, 2023, 11:56:27 PM

There are currently ongoing investigations in several countries right now so just dismissing everything as FUD does not give me ease of mind.

Take a look at this post of mine from November last year: https://bitcointalksearch.org/topic/--5419710

In that post, I link to various statements from Celsius and Voyager saying the same thing - that all accusations were FUD - that they made in the days before their collapse. I made that post in response to SBF saying that all accusations against FTX were FUD, warning people not to listen to him and to withdraw all their coins. I was obviously proven right with FTX declaring bankruptcy just a few days later.

It is a recurring pattern with centralized exchanges. Things start to look uneasy, the CEO dismisses everything as FUD and promises fUnDs ArE sAfU, and then not long afterwards they freeze all withdrawals.

No exchange is immune to same thing happening to them and no exchange is too big to fail. Get all your coins in to your own wallets before it is too late.

FinneysTrueVision

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Quote from: bbc.reporter on July 06, 2023, 08:31:25 PM

@Z-tight. It appears the panic is slowly coming among people who really know what is happening. According to Fortune magazine, Binance's senior executives quit after CZ's response to the DOJ's investigation.

I want to know what was CZ's response and why this caused the most important people in charge of compliance to leave. The article is not very clear on this. Are they implying that CZ does not listen to the advice of his executives anymore?

In any case, are we witnessing FTX collapse 2.0?

CZ is saying on Twitter that this is all FUD. Maybe people are making too much of some of these recent departures and it could just be normal turnover, but it seems very clear to me that regulators are looking to make an example out of Binance. There are currently ongoing investigations in several countries right now so just dismissing everything as FUD does not give me ease of mind. Do Kwon and SBF also reassured the public that everything was fine before their projects collapsed. If Binance fails it would have an even greater impact than the collapse of FTX and Terra Luna.

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@Z-tight. It appears the panic is slowly coming among people who really know what is happening. According to Fortune magazine, Binance's senior executives quit after CZ's response to the DOJ's investigation.

I want to know what was CZ's response and why this caused the most important people in charge of compliance to leave. The article is not very clear on this. Are they implying that CZ does not listen to the advice of his executives anymore?

In any case, are we witnessing FTX collapse 2.0?

Fortune has learned that senior figures, including general counsel Hon Ng, chief strategy officer Patrick Hillmann, and SVP for compliance Steven Christie, told Zhao this week they are leaving the company. Their departure follows the recent exit of Matthew Price, a former IRS agent whom Binance hired in 2021 to oversee global investigations and intelligence.

The decision by the executives to quit the company represents a management and strategic crisis for Binance at a time when it is navigating immense regulatory pressure. The situation is also likely to increase that pressure given that the departures are from legal and compliance units that deal most directly with regulators.

Binance did not immediately respond to a request for comment on the departures.

Source https://fortune.com/crypto/2023/07/06/binance-crisis-executives-quit-changpeng-zhao-justice-department/

Z-tight

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Quote from: bbc.reporter on July 04, 2023, 10:45:26 PM

I reckon if this continues and if a panic begins, I am afraid that Binance would decide to freeze all their users' accounts from withdrawals not because they do not have the funds, but because they want to save the exchange. One big panic is all it might take for Binance to bite the dust.

With a fractional reserve system in operation, if a bank run happens to Binance they are surely going to bite the dust, they cannot handle > 70% of their customers all trying to withdraw their money all at the same time. But with recent events involving crypto platforms, people don't panic when they can still save their funds, the panic button goes off once it is already too late, just because "it is too big to fail".

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Quote from: Rikafip on July 05, 2023, 08:49:23 AM

Quote from: bbc.reporter on July 04, 2023, 10:45:26 PM

If Binance goes down, what if Justin Sun enters with his billions and buy Binance then become the new king of the cryptospace?

Lol chances of that happening ( Sun buying out Binance and becoming "king of cryptospace") are slim to none. I am sure that he would use that hypotethical situation to promote hismelf future (as he usually do) but I don't think that he has that amount of money.

Agreed that chances for it are small, however, I would not say it is slim. It might be moderately higher than estimated.

On Justin Sun's money, I have always speculated that he has backers from China who Justin might be laundering money for through his different projects and exchanges in the cryptospace. Binance could be an important piece in their operation because much of the cryptospace's inflows and outflows of cash and coins pass through it.

Also, Justin and CZ are friends and it would not be shocking if they are supported by the same Chinese backers.

Rikafip

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Quote from: bbc.reporter on July 04, 2023, 10:45:26 PM

What is worrying about Binance is there is an increasing threat of being cut off from different jurisdictions. I reckon if this continues and if a panic begins, I am afraid that Binance would decide to freeze all their users' accounts from withdrawals not because they do not have the funds, but because they want to save the exchange. One big panic is all it might take for Binance to bite the dust

If what you are saying is true and all it takes is bunch of people trying to withdraw money to ruin Binance, then it is a scam exchange that is misuing people's money in the same way FTX did. I mean, I woulnd't be surprised if there is some delay in case large amount of people try to withdraw simply due tehical issues but why would that mean the end of Binance?

Either way, no exchange is place to store your crypto, no matter how reputable it is.

Quote from: bbc.reporter on July 04, 2023, 10:45:26 PM

If Binance goes down, what if Justin Sun enters with his billions and buy Binance then become the new king of the cryptospace?

Lol chances of that happening ( Sun buying out Binance and becoming "king of cryptospace") are slim to none. I am sure that he would use that hypotethical situation to promote hismelf future (as he usually do) but I don't think that he has that amount of money.

bbc.reporter

legendary

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@Z-tight. What is worrying about Binance is there is an increasing threat of being cut off from different jurisdictions. I reckon if this continues and if a panic begins, I am afraid that Binance would decide to freeze all their users' accounts from withdrawals not because they do not have the funds, but because they want to save the exchange. One big panic is all it might take for Binance to bite the dust.

However, I hope everyone is ready for the next head shaking storyline because anyone who hates CZ will certainly hate this next possbility. If Binance goes down, what if Justin Sun enters with his billions and buy Binance then become the new king of the cryptospace?

Z-tight

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Quote from: Doan9269 on July 03, 2023, 01:20:05 PM

but they only seem more reliable to may which doesn't change them from being a centralized exchange.

"They seem more reliable" is the same thing as 'Binance are too big to fail', and so many Binance users repeat this line, like i said, the message isn't for people not to use Binance to trade, but for them to believe that they can bite the dust like the others that have, if we all agree that they are reliable, it is like an agreement that it is safe for people to store their funds in Binance, but if we all agree that they can collapse, which they surely can, self custody would be the only means of storing funds.

Doan9269

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Quote from: Z-tight on June 25, 2023, 02:08:52 PM

Quote from: Woodie on June 24, 2023, 08:52:30 AM

For now these guys are still around and won't bite the dust.

For now they are still in operation, but don't think they are too big to fail or bite the dust, i am not saying that i know for sure that they are going to collapse, but it is something that's possible, with the recent events of collapsed centralized exchanges, lending and earning platforms and other similar services, you should know now that none of them is too big to bite the dust.

It is good if people use exchanges with the belief that they can collapse at anytime, that way they'll store their money in self custody wallets and be aware that "not your keys, not your coins".

If we are to judge from he aspect of what we are seing currently with Binance exchange, they don't seems to have any operational issues that could stop them from being existing, the threat coming from the US government is nothing to write about, but we should know that this alone doesn't change the fact that they are still centralized exchange and can go thesame way other existing exchanges have left, same risk and nothing more, but they only seem more reliable to may which doesn't change them from being a centralized exchange.

bbc.reporter

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Binance might not bite the dust, however, it is beginning to suffer a slow dismantling process being done against it by the regulators and the people behind traditional finance. The exchange is banned from operating under the jurisdictions of Netherlands, Canada, Belgium and a few more and this is also increasing. Their banking partners are also withdrawing their support for the exchange.

Where will Binance and CZ be in 5 years?

Z-tight

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Quote from: Woodie on June 24, 2023, 08:52:30 AM

For now these guys are still around and won't bite the dust.

For now they are still in operation, but don't think they are too big to fail or bite the dust, i am not saying that i know for sure that they are going to collapse, but it is something that's possible, with the recent events of collapsed centralized exchanges, lending and earning platforms and other similar services, you should know now that none of them is too big to bite the dust.

It is good if people use exchanges with the belief that they can collapse at anytime, that way they'll store their money in self custody wallets and be aware that "not your keys, not your coins".

Woodie

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At this point its safe to say that Binance has being a step ahead in how they have being doing their business , and in places were they thought their stay won't be long they went ahead and dedicated special domain for places such as the US market to separate it from its other businesses , and since different countries require different requisites to meet at this point I think they will just have limited markets at this point were they have to do a lot of paper work to get around and keep operating in countries were there is less paper work.

For now these guys are still around and won't bite the dust.

bbc.reporter

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News update.

It appears Binance needs a new strategy. Separate the European Union customers and let them log in on a .eu domain similar to how they are already doing it with Binance.us.

In anycase, what other exchanges like Kucoin and Bybit can learn from Binance's regulatory problems is do not grow too big and be noticed by regulators hehehe.

Belgium's top markets regulator is ordering embattled crypto exchange Binance to immediately cease serving local customers, according to a Friday notice.

The Financial Services and Markets Authority (FSMA) said Binance is "offering and providing exchange services in Belgium between virtual currencies and legal currencies, as well as custody wallet services, from countries that are not members of the European Economic Area," which the regulator says is in violation of a prohibition.

Source https://www.coindesk.com/policy/2023/06/23/binance-ordered-to-immediately-halt-offering-crypto-services-in-belgium-by-markets-regulator/

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