Binance CEO Changpeng Zhao (CZ) had to comment again on the FUD effect regarding the cryptocurrency exchange.
Changpeng Zhao, Binance CEO, elaborated on Twitter about the reasons for the FUD effect around the crypto exchange. The main ones are:
- Hatred of centralization in general and CEXs in particular among parts of the cryptocurrency community.
- Shifting responsibility for failed trading to the exchange.
- No access to Binance services due to technical problems with the Internet connection on the user side.
- Competition from other CEXs, which lobby for paid-for media coverage.
- Associations with FTX, the bankruptcy of which cast a shadow over other CEXs.
Moreover, among the causes of the FUD effect, Changpeng Zhao mentioned the lack of crypto adoption worldwide, the conservatism of politicians and financial regulators, and racism “against Chinese-looking Canadians.” In addition, CZ stated that “writing about “Binance” gets you more clicks,” referring to the promotion of the situation by the media.
“We welcome feedback, but ignore FUD,” concludes Binance CEO. Recall that he’d previously stated that liquidity outflows from the accounts of the largest crypto exchange would act as a “stress test” and prove its solvency. A week and a half later, Binance’s official blog published a post with answers to the key questions about the heightened FUD effect.
