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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.
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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.
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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

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