Binance CEO Changpeng “CZ” Zhao described Forbes’ article evaluating his alternate and bankrupt FTX as “one other FUD” and “baseless.”
In a Feb. 27 report, Forbes wrote that Binance moved $1.8 billion in stablecoin collateral to quite a few hedge funds.
Whereas Binance chief technique officer Patrick Hillman denied that the alternate uncovered its customers’ funds, CZ stated:
“[Forbes] appear to not perceive the fundamentals of how an alternate works.”
He added that the report defined Binance customers’ withdrawals as “hundreds of thousands of shifted collateral.” Based on CZ, Forbes ignored customers’ deposit transactions.
Compared with FTX, CZ stated the 2 exchanges are completely different. The Binance CEO identified that the agency had processed billions in withdrawals in December 2022 when he was “socially hanging out with crypto associates” in Dubai.
On the time, Binance recorded unprecedented outflows from its reserves — on the peak of the FUD, it processed $6.6 billion in withdrawals over seven days.
The alternate founder added that Binance carried out Ethereum (ETH) co-founder Vitalik Buterin’s suggestion for exchanges to implement a proof-of-reserves utilizing the zero-knowledge (ZK) method.
CZ additional highlighted that his Chinese language nationality was introduced up within the article once more. CZ had beforehand refuted claims that his alternate was a Chinese language firm. Apart from that, the alternate CEO has additionally severally acknowledged that he’s a Canadian citizen.
He concluded that:
“I’m deeply upset that Forbes continues to write down baseless articles, dropping their very own credibility.”
