Amid the rising spread of Fear of Uncertainty and Doubt (FUD) about Binance, the cryptocurrency exchange decided to address some of the lingering issues via a Chinese blog post published by Binance on Dec. 22.
Binance clarified why it temporarily suspended withdrawal of USDC earlier this month. It explained that the decision was taken during a token swap conversion period because the exchange was consolidating its stablecoin reserves into BUSD.
However, the exchange also addressed the availability of sufficient reserves for withdrawals, stressing that all users’ assets in Binance are supported 1:1. The crypto exchange maintained that it has a strong and healthy financial status.
Recall that CryptoQuant ascertained Binance’s reserves on Dec. 16, affirming that the exchange does not have any FTX-like circumstances.
As regards Mazars and the “Big Four” auditing firms’ decision to avoid working with Binance, the exchange maintained that on-chain verification was a new field that these verification companies may not have the capacity to withstand.
It should be noted that Mazars removed Binance’s audit reports from its website after the furore. Meanwhile, the exchange maintained that there was no need to disclose financial information since it was a private company and not a listed one.
Additionally, the post asserted that Binance CEO Changpeng Zhao’s comments were not responsible for the ultimate collapse of the FTX exchange.
Crypto Exchange Bullish Terminates Agreement
In a related development, cryptocurrency exchange Bullish has decided to terminate an agreement with Far Peak Acquisition that will prevent listing the exchange on the New York Stock Exchange.
Bullish Chair Brendan Blumer, also the CEO of Block.one remarked that the decision was informed by the policy of the United States Securities and Exchange Commission (SEC).
Blumer further appreciated his partner, Thomas Farley, at Bullish for their incredible exploits, stressing that their contributions aided the growth of the exchange in 2022.
Thanks to @ThomasFarley – the most talented leader I’ve ever had the privilege of working with.
— Brendan Blumer (@BrendanBlumer) December 22, 2022
Meanwhile, it is believed that the collapse of the merger between Bullish and Far Peak Acquisition was due to the increasing efforts by regulators and lawmakers to crackdown on cryptocurrency.