Thomas Daniels
Changpeng Zhao (CZ), a co-founder of Binance, has refuted rumors that the cryptocurrency exchange is up for sale, calling them false information from a rival.
Zhao refuted the allegations on February 17 on X (previously Twitter), writing: “Some lowly self-perceived competitor in Asia fudding about Binance (CEX) for sale.” Binance is not for sale as a shareholder.
Yi He, the Chief Customer Service Officer and co-founder of Binance, echoed his comments, attributing the claims to a competing company’s PR campaign. Rather, she said that Binance is still open to purchases and urged exchanges that are thinking about selling to get in touch.
Rumors Binance Asset Movements served as the catalyst.
After a user on X, AB Kuai.Dong, pointed out a notable drop in the exchange’s asset holdings, including Bitcoin, on February 11, speculation over Binance’s financial situation grew more intense. This sparked speculation that Binance was either restructuring or selling off assets.
Binance quickly denied these allegations, stating that the modifications were not a sign of a sale but rather a change made to its treasury’s accounting procedure.
Regulatory Difficulties Continue
Despite being the biggest cryptocurrency exchange globally in terms of trading volume, Binance is still under regulatory scrutiny.
Zhao pleaded guilty to breaking U.S. anti-money laundering regulations and recently served a four-month prison sentence. Richard Teng, the company’s new CEO, has made compliance a top priority since his departure, even as Binance continues to face legal and regulatory obstacles.
According to reports, authorities in France are looking into Binance’s business between 2019 and 2024 in connection with claims of tax evasion and money laundering. Possible connections between the exchange and illegal financial operations, including as drug trafficking, are being investigated by the Paris Public Prosecutor’s Office. Binance has refuted every accusation.
In the meantime, Binance’s legal prospects seem to be becoming better in the US. The exchange and the U.S. Securities and Exchange Commission (SEC) jointly filed a move on February 10 to halt their legal actions for 60 days, and the motion was approved. To decide if an extension is required or whether the case should move forward, both parties are expected to submit a report at the conclusion of the stay.
