CZ, the CEO of Binance, adamantly refuted claims that his exchange is contemplating delisting US-based digital assets in a collection of tweets. This speculation arose after regulators began to pressure Binance due to its lack of permission to work with crypto users in America.
The Securities and Exchange Commission, Commodity Futures Trading Commission, Justice Department, and Internal Revenue Service have all launched investigations into Binance. According to reports, Binance exchange will terminate dealings with US-based businesses like banks and services firms and reassess venture capital investments within America.
CZ has firmly denied the assertion of this report by referring to it as “FUD”—an acronym for fear, uncertainty, and doubt. He also argued that blockchain‘s decentralized nature could be challenging to decide what constitutes a token-based in the United States.
In the wake of greater regulatory attention, Binance has experienced a dramatic capital outflow estimated at $1.9 billion by Nansen’s data analysis.
BUSD, the stablecoin issued by Paxos and utilized by Binance, recently endured a clampdown from the New York State Department of Financial Services which caused over $2.3 billion in redemptions of these tokens within a few days. Besides Binance, several other prominent crypto companies have also been forced to leave the market.
