03-29-2023 icon

Binance BTC Wallet Experience a Plunge by 3.4K BTC Barely aDay After CFTC Filing

By Lucy Adegbe
Binance debit card

Following the US Commodity and Futures Trading Commission’s lawsuit against the digital currency trading platform Binance and its founder Changpeng “CZ” Zhao over alleged regulatory infringement, the Businessman had made precautionary moves while refuting accusations of market alteration.

Nonetheless, the platform’s shareholders reacted by withdrawing about 3,400 BTC from the protocol within the past day, expecting market instability.

Binance’s founder and chair CZ had countered the CFTC accusations, noting that “Binance.com does not trade for profit or ‘manipulate’ the market under any circumstances.”

Regardless, events concerning digital currency business owners like FTX’s Sam Bankmam-Fried as well as Terraform Lab’s Do Kwon have caused shareholders to develop less trust in the digital currency space.

Shareholders have commenced transferring digital currency holdings from Binance to reduce any effect of a possible close down. Consequently, the digital currency trading protocol recorded a significant drop in its Bitcoin wallet balance while other digital trading platforms saw a boost.

The protocol’s wallet balance dropped by more than 3,900 BTC in one week, and about 3,400 of the BTC was withdrawn within the past day. 

Other trading counterparts such as Coinbase, Gemini and Bitfinex, recorded a boost in their Bitcoin balance within this past day.