FTX dilemma has not been over yet, and we are about to face another crash, which will be even bigger this time. Reports are coming about CZ’s led crypto exchange Binance financial instability, and there is FUD that might hit the market more badly than the FTX crash.
Investors and users have questioned the stability of Binance by criticizing its most recent proof-of-reserves report and citing recent withdrawals, but the company has retaliated against this “FUD.”
CZ’s views on the FUD
CZ is quite active on Twitter and always gives instant tweets on common issues regarding crypto and Binance. On the recent FUD about Binance, he tweeted several times, and recently he shared a thread in which he explained nine possible reasons why people FUD about Binance. These reasons are somewhat justifiable and based on facts.
Nine reasons for FUD
- He writes that some people in the crypto sector despise centralization. They simply despise CEX, regardless of whether it accelerates the acceptance of cryptocurrencies. And as Binance is a CEX, people FUD about it.
- CZ added that some people might accuse and abuse us if they lose money trading or have other problems. Not every situation has clear-cut right and wrong answers. A person may not be able to access Binance because of his personal router having problems, and he will accuse Binance of that.
- Some people in the crypto sector view Binance as a rival and have gone to incredible lengths to oppose Binance. Some people are even hiring people to campaign against Binance, CZ added.
- He writes that many media outlets are bribed to defame them, and some of them are owned by Binance competitors. Regardless of how illegal their funding sources may have been, some people may mistakenly believe that Binance cut off their funding sources and blame Binance. However, in actuality, Binance did not cut off its funding.
- Less than 5% of people worldwide presumably use cryptocurrencies. Many people still have doubts about cryptocurrencies, CZ writes. Some media have more conventional readerships, and their viewpoints tend to be similar to those of these readers. Thus they FUD about crypto to ensure their readers about the conventional way of life.
- He further added that the same is true for decision-makers such as politicians. They’re not all cutting-edge progressives, though. Conservatism is not incorrect. Leaders want to “defend” their banks over cryptocurrencies.
- He added that many people in society believe in generalization. He writes that generalizations are another option. “If one CEX is bad, all CEXs must be bad,” the saying goes, particularly if they had previously liked a CEX who turned out to be terrible afterward. They must therefore harbor a more ferocious hatred for the other CEXs.
- According to CZ, racism can involve in this FUD because there could be a number of people who are jealous of him and his origin. Additionally, the racism against him is because of his Chinese origin and Canadian citizenship, but he made it clear that the firm does not care about such racism.
- Lastly, he added that size does matter when you need attention. Writing about Binance will give you more attention than if you write about a tiny exchange; that is why most people write negatively about Binance to receive more clicks.
At the end of the thread, CZ made it clear that they accept criticism and admit they’re not perfect, but they dismiss FUD. Moreover, they put emphasis on developing their products with public support.
