Changpeng Zhao Denies Exchange is Selling Bitcoin and BNB
Rumors have begun to spread on social media alleging that cryptocurrency exchange Binance had sold its Bitcoin holdings to safeguard its BNB positioning.
A user JW has commented saying:
“As spot Bitcoin sells, BNB is bought protecting it from liquidation at $220, but it also restricts the upside potential of digital gold, creating a house of cards.”
Another user known as Skew backed the speculation, arguing that the trading platform offloads Bitcoins for USDT then uses them to buy BNB, which is then sold for BUSD that are redirected back into Bitcoin to “quash its downward volatility.”
Skew said:
“Technically this is market manipulation, Binance is definitely up to something to forestall the decline of BNB and BTC.”
The head of the trading platform Changpeng Zhao has said the company hasn’t sold either Bitcoin or BNB.
He said that the exchange holds tokens of the bankrupt FTX crypto exchange (FTT).
Zhao has remarked:
“It’s amazing that they can accurately determine the identity of a seller based on just a price chart with millions of traders. FUD.”
This comes after the U.S. Securities and Exchange Commission (SEC) sued Binance and its CEO on June 5 for the sale of unregistered securities.
