Skip to main content

19bn withdrawals from Binance.

Binance crypto

 Binance has registered $1.9 billion of withdrawals in the past 24 hours, according to the blockchain data firm Nansen, as the world’s biggest crypto exchange said it had «temporarily paused» withdrawals of the USDC stablecoin.

How crypto exchanges such as Binance and its now-bankrupt former rival FTX handle customer deposits is under close scrutiny from users and regulators. The FTX founder Sam Bankman-Fried was charged by the US Securities and Exchange Commission yesterday with defrauding investors.
The $1.9 billion of withdrawals of tokens based on the ethereum blockchain mark the largest daily outflow over a 24-hour period since June 13, the Nansen data showed, and accounted for the majority of the funds being pulled in the last seven days.
Business Briefing: Morning and midday updates on financial and economic news from our award-winning business team.
Binance earlier said it always had «more than enough funds» to meet withdrawal requests. «User assets at Binance are all backed 1:1 and Binance’s capital structure is debt free».
Asked whether Binance had enough USDC to meet USDC withdrawal requests,the crypto exchange added it may need to move funds to online «hot» digital wallets from offline wallets, convert stablecoins from one another or carry out network upgrades, sometimes causing delays.
Labels:

Comments

  1. Mark14 December 2022 at 17:36

    I wonder why there are so many withdrawals in such a small amount of time? Binance is nowhere near the sham that FTX was but it seems confidence in it, from some people, is quite low still.

    ReplyDelete
  2. Ashley14 December 2022 at 19:34

    It's clear that a company like Binance needs to keep money moving, to constantly invest and not just keep all the money available just in case someone wants to take it out.

    ReplyDelete

Post a Comment

Cloud Bookkeeping

US FED rate rise.

  The US Federal Reserve officials have indicated that they plan to resume increasing interest rates to control inflation in the world's biggest economy. During the June meeting, the Federal Open Market Committee reached a consensus to keep interest rates stable for the time being to evaluate whether further tightening of policy would be necessary. However, the majority of the committee anticipates that additional rate increases will be required in the future. The minutes of the meeting have recently been made public. According to the minutes, most participants believed maintaining the federal funds rate at 5 to 5.25 per cent was appropriate or acceptable, despite some individuals wanting to raise the acceleration due to slow progress in cooling inflation. Although Fed forecasts predicted a mild recession starting later in the year, policymakers faced challenges in interpreting data that showed a tight job market and only slight improvements in inflation. Additionally, officials gr...
Post a Comment
Read more

EU business slide.

  S&P Global’s flash eurozone composite purchasing managers’ index, a key gauge of business conditions for the manufacturing and services sector, fell 1 point to 47.1, figures showed yesterday. That is its lowest level since November 2020 and the fourth consecutive month below the crucial 50 mark separating growth from contraction. One of the few bright spots in the survey was that companies in all sectors reported a slight easing of cost pressures, price growth and supply chain constraints. However, prices charged for goods and services still rose at the sixth fastest rate since such data started in 2002. Jobs growth increased marginally from October but remained low compared with the past 18 months. Following a few months of falling price pressure in manufacturing and services, the October print shows an overall stabilisation said Jens Eisenschmidt, chief European economist at Morgan Stanley. However, German businesses, at the hub of Europe’s energy crisis, reported that manu...
1 comment
Read more

Tariffs on UK electric cars.

  The European Commission has confirmed that it will continue with its plan to impose tariffs on electric cars exported between the UK and EU starting next year. This is due to the "rules of origin" requirement that mandates EVs traded across the English Channel to have 60% of their battery and 45% of their parts sourced from the EU or UK or face a 10% tariff. A senior Commission official, Richard Szostak, recently informed parliamentarians from the UK and EU that the bloc's battery investment has significantly declined, making the tariffs necessary to encourage domestic production. In 2022, the EU's share of global investment in battery production shrank from 41% to only 2% after the US offered substantial subsidies through its Inflation Reduction Act. Starting in 2024, car manufacturers in the UK will need to have 22% of their sales come from zero-emission vehicles, which means they may need to import EVs from the continent to meet this requirement. If EU carmakers ...
Post a Comment
Read more