• Binance CEO Changpeng ‚CZ‘ Zhao has denied reports that his exchange is looking to sever ties with US-based projects.
• Reports suggested Binance was planning to delist all US-based tokens, including USD Coin (USDC).
• CZ acknowledged that Binance had „pulled back“ on some deals but said the reports were false.
Binance Denies Reports of Delisting US Tokens
Binance CEO Changpeng ‚CZ‘ Zhao has denied recent reports that his exchange is looking to sever ties with US-based projects, calling them „false.“ He did acknowledge, however, that the exchange had „pulled back“ on some deals.
FTX Collapse and SEC Lawsuit
The crypto giant has endured a lot of FUD over the past several months, particularly after the collapse of FTX. This comes just days after the US Securities and Exchange Commission (SEC) said it was suing Paxos, the US-based issuer of the Binance USD (BUSD) stablecoin. The regulator has labelled BUSD as an „unregistered security.“ That on top of the New York Department of Financial Services ordering Bitfinex and Tether to cease operations in New York state.
Focus on Education and Compliance
In response to one of these reports, CZ tweeted that it was better to focus on education, compliance and product & service, while „ignoring FUD, fake news attacks etc.“ He also noted that blockchain technology operates without borders so pulling back from certain investments should not be interpreted as cutting ties with US-based projects altogether.
A Bloomberg report published last Friday suggested Binance was looking to end relationships with its partners in the US including banks and reassessing its venture investments in the country. However CZ clarified this was only temporary until permission could be obtained from regulators or related parties involved in any deal or investment process.
In conclusion, despite recent negative coverage concerning issues such as FTX’s collapse and SEC lawsuits against Paxos for their unregistered security token BUSD; CZ denies any plans for delisting or cutting ties with any US based projects or investments at this time. The exchange is instead focusing on education, compliance and product & service while navigating these difficult times in order to come out unscathed in the end.