Binance
Opinion: Crypto exchanges keep failing, so why do we still trust Changpeng Zhao?
New data indicates Binance’s stablecoin, BUSD, has been undercollateralized at times by more than $1 billion. Yet, few have questioned CEO Changpeng Zhao. Opinion Own this piece of history Collect this article as an NFT Cryptocurrency has faced more than its fair share of catastrophes, nearly all of which seemed as though they might end or at least seriously impede the continued growth of the sector. Yet despite the many “teachable moments,” the social layer of crypto refuses to learn its lesson and continues to place its trust in the hands of individuals rather than fully utilize the technologies it claims to support. Since the early days of the industry, crypto has faced major blows at the hands of centralized actors — Mt. Gox, which handled 70% of global Bitcoin transactions, lost track...
Binance tightens rules on NFT listings
According to a Jan. 19 announcement by Binance, the cryptocurrency exchange has tightened its rules for nonfungible tokens, or NFT, listings. Starting Feb. 02, 2023, all NFTs listed on Binance before Oct. 2, 2022, and have an average daily trading volume lower than $1,000 between Nov. 1, 2022, and Jan. 31, 2023, will be delisted. In addition, after Jan. 21, 2023, NFT artists can only mint up to five digital collectibles per day. Binance NFT requires sellers to complete know-your-customer (KYC) verification and have at least two followers before listing on its platform. In addition to the revised rules, Binance said it would forthwith “periodically review” NFT listings that do not “meet its standards” and recommend them for delisting. “Users can repo...
FinCEN lists Binance among the top Bitcoin counterparties of Bitzlato
The United States Financial Crimes Enforcement Network (FinCEN), a bureau of the Treasury Department, has argued that Binance is linked to the illegal cryptocurrency platform Bitzlato. In an order published on Jan. 18, FinCEN stated that Binance cryptocurrency exchange was among the “top three receiving counterparties” of Bitzlato in terms of Bitcoin (BTC) transactions. According to the authority, Binance was among the biggest counterparties that received Bitcoin from Bitzlato between May 2018 and September 2022. Other such counterparties included Russia-connected darknet market Hydra and the alleged Russia-based Ponzi scheme known as “TheFiniko,” FinCEN noted. On the other hand, FinCEN did not mention Binance as the top three sending counterparties in the order. According to the document,...
Binance to let institutions store crypto with cold custody
Amid the centralized cryptocurrency exchanges (CEX) crisis, crypto exchange Binance is moving to improve its institutional trading services with cold-custody opportunities. On Jan. 16, Binance announced the official launch of Binance Mirror, an off-exchange settlement solution that enables institutional investors to invest and trade using cold custody. The newly launched Mirror service is based on Binance Custody, a regulated institutional digital asset custodian, and involves mirroring cold-storage assets through 1:1 collateral held on a Binance account. Binance emphasized that the new solution enables more security, allowing traders to access the exchange ecosystem without having to post collateral directly on the platform, stating: “Their assets remain secure in their seg...
Binance approved to offer crypto services to Swedish customers
The Swedish Financial Supervisory Authority, one of the country’s financial regulatory agencies, has granted the local arm of crypto exchange Binance approval to manage and trade digital currencies. According to a Jan. 11 announcement, Binance said following “months of constructive engagement” with the financial regulator, the Swedish FSA granted Binance Nordics AB registration status on Jan. 10. This decision effectively allows Swedish residents to access Binance’s crypto services. “Sweden fully adopts EU laws and has further local requirements, so we have been careful to ensure that Binance Nordics AB has adopted risk and AML policies to match this exacting standard,” said Roy van Krimpen, Binance’s lead in the region. ”Our next big task will be the successful migration and launch ...
Hedge funds subpoenaed by U.S. prosecutors as Binance probe unfolds: Report
United States prosecutors are investigating hedge funds’ relationships with cryptocurrency exchange Binance for money-laundering violations. According to anonymous sources cited by the Washington Post, the U.S. attorney’s office for the Western District of Washington in Seattle subpoenaed investment firms to provide records of communications with Binance in the past months. The allegedly subpoenas do not mean prosecutors are bringing charges against the crypto exchange or hedge funds, as authorities are still evaluating evidence and a possible settlement with Binance, according to legal specialists. Binance did not immediately respond to Cointelegraph’s request for comment. Binance is under probe in the United States since 2018, when prosecutors began investigating a number of cases ...
Binance joins association to address compliance with global sanctions
Binance has become one of the first crypto firms to join the Association of Certified Sanctions Specialists, orACSS, in an effort to stay in compliance with global sanctions. In a Jan. 6 announcement, Binance said its team of sanctions compliance personnel would be undergoing training as part of the certification process at ACSS. According to the association’s website, the group offered an examination addressing “knowledge and skills common to all sanctions professionals in varied employment settings.” “The blockchain industry is still in its early years, and it’s our priority to continue upholding the highest level of compliance amid a fast-evolving space,” said Binance’s global head of sanctions, Chagri Poyraz. “At the end of the day, we want to continue setting the industry standard for...
Top crypto funding stories of 2022
2022 was a watershed year for crypto venture capital, as investors poured tens of billions of dollars into blockchain-focused startups despite the overwhelmingly bearish trend in asset prices. Is the VC-dominated crypto funding model good for the industry? Only time will tell. Cointelegraph Research is still in the process of tallying all the funding figures for the year, but 2022 easily outpaced all other years in terms of total capital raised and deals completed. VC inflows were above $14 billion in each of the first two quarters before receding to just under $5 billion in the third quarter — still an impressive tally given the industry-wide contagion sparked by the sudden collapses of Celsius, Three Arrows Capital, Genesis, BlockFi and FTX, among others. Against this backdrop, we’...
Companies and investors may need to return billions in funds paid by FTX
The collapse of FTX Group may not yet be finished with its contagious spread, as clawback provisions could force businesses and investors to return billions of dollars paid in the months leading up to the crypto exchange’s collapse, an insolvency attorney told Cointelegraph. In short, a “clawback” refers to money paid out that is required to be returned due to special circumstances or events, such as an insolvent company that needs to recover funds paid within 90 days before filing for Chapter 11. If the creditor is an insider, the 90-day period is extended to one year. As a result, creditors could seek a clawback on transfers made by FTX to external parties, including the $2.1 billion paid by FTX to Binance when Binance exited its Series A investment in FTX. Changpeng “CZ” Zhao, Binance‘s...
Crypto Biz: Did Michael Saylor buy the Bitcoin bottom for once?
Business intelligence firm MicroStrategy is showing no signs of backing down on its Bitcoin gambit. Right around the time that Sam Bankman-Fried was being exposed as a fraud, MicroStrategy was scooping up more Bitcoin (BTC) — this time, the firm bought as close to the bottom as it’s ever gotten. While Bitcoin can always go lower, seeing a MicroStrategy buy around $17K is refreshing. Interestingly, MicroStrategy also sold some BTC earlier this month — but not for the reason you think (more on that below.) The final Crypto Biz newsletter of 2022 discusses MicroStrategy’s Bitcoin buy, Fidelity Investments’ foray into the metaverse, Changpeng Zhao’s response to haters and the collective woes of Bitcoin miners. MicroStrategy adds to Bitcoin stake despite steep loss Business intelligence firm Mi...
3Commas CEO confirms API key leak following warning from CZ
Binance CEO Changpeng Zhao (CZ) warned his 8 million Twitter followers on Dec. 28 that he is “reasonably sure” that API key leaks are taking place at the cryptocurrency trade management platform. I am reasonably sure there are wide spread API key leaks from 3Commas. If you have ever put an API key in 3Commas (from any exchange), please disable it immediately. Stay #SAFU. — CZ Binance (@cz_binance) December 28, 2022 The disclosure by CZ followed an incident on Dec. 9, when Binance cancelled the account of a user who complained about losing funds a day earlier. That user claimed a leaked API key tied to 3Commas was used “to make trades on low cap coins to push up the price to make profit.” Binance declined to reimburse the user. CZ tweeted that the loss was unverifiable, and if the company m...
CZ addresses reasons behind Binance’s recent FUD
Binance CEO Changpeng “CZ” Zhao took to Twitter on Dec. 23 to share his perspective on the reasons behind the recent fear, uncertainty, and doubt (FUD) surrounding the crypto exchange. According to CZ in the thread, Binance’s FUD is primarily caused by external factors – not by the exchange itself. One of the reasons mentioned by the CEO was that part of the crypto community hates centralization. “Regardless if a CEX helps with crypto adoption at a faster rate, they just hate CEX,” he noted. CZ also pointed out that Binance has been seen as competition by many industry players, with increasingly lobbying against the exchange and “loaning sums of money to small media that’s worth many times the media outlet’s market value, including buying the...
