Members of the cryptocurrency community discuss running banks on Binance

Over the past 24 hours, cryptocurrency exchange Binance has seen outflows of over $1.14 billion due to the rise of FUD — or fear, uncertainty, and suspicion — within the crypto ecosystem.

According to Changpeng “CZ” Zhao, CEO of Binance, the exchange has seen this before, and he thinks it “is a good idea to do a ‘stress test on withdrawals’ at every CEX.” [centralized exchange] on a rotational basis.”

We saw some withdrawals today ($1.14 billion net random). I’ve seen this before. Some days we have net draws; Some days we have net deposits. Business as usual for us.

I actually think it’s a good idea to do “stress test pulls” at every CEX on a periodic basis.

1/2 https://t.co/uF9lLPDSyS

– CZ Binance (cz_binance) December 13, 2022

The bank run on Binance comes a month after CZ ran the bank on FTX, which led to liquidity problems and its eventual collapse.

Despite the rampant FUD within the cryptocurrency community, many members remain optimistic that Binance will weather the storm and not share the same fate as FTX. Others speculate that if Binance crashes, the entire crypto industry could be brought to its knees.

Bitcoin (BTC) millionaire Carl Ranvelt stated on Twitter that “if Binance collapses, we will all be beaten.”

If Binance collapses, we are all in bad shape

– Carl From The Moon (TheMoonCarl) December 13, 2022

Author and Bitcoin enthusiast Layah Heilpern shared: “Do you realize that if Binance falls then everything else will collapse? Yes, #bitcoin will survive, but the entire cryptocurrency ecosystem including stablecoins will die.”

I don’t understand why people are cheering the collapse of Binance.

Do you realize that if Binance crashes everything else will crash? yes # Bitcoin You will survive but the entire cryptocurrency ecosystem including stablecoins will die.

– Layah Heilpern (@LayahHeilpern) December 13, 2022

Twitter user Crypto Cognac shared that the Binance drop would not benefit the space, as it would take the space “back to the stone age.”

If Binance goes down, it won’t be good for this space. Back to the Stone Age. Binance is my #1 exchange. I think Binance is good and this is a coordinated FUD campaign run by an entity that wants crypto to fail.

– CryptoCognac (CognacCrypto) December 13, 2022

Timverse said that they believe that if Binance becomes insolvent, it will “set the industry back” by years — though the cryptocurrency will survive because “it was here before binance came along and it will be here after.”

The Binance bankruptcy would definitely set the industry back a few years and I agree with that.
But will the cryptocurrency industry go away.. I don’t disagree.
Cryptocurrency was here before binance came along and it will be here after

– Timsverse (Timsverse) December 13, 2022

Crypto Analyst and Government Consultant Del Crxpto accused the crypto media of promoting FUD about Binance, saying, “The media is trying to cause a bank to run binance. Audit The truth is time is audit #1 and binance has stood the test of time.”

The media is trying to cause a bank run binance.

In the past several weeks, they have tried to push several narratives in this regard, the latest one being binance Did not pass audit.

The fact is that time is revision number 1 and binance It has proven the test of time.

– DelCrxpto (DelCrxpto) December 13, 2022

Related: CZ confirms abnormal token price action on Binance that is not related to the hack

On December 11, Cointelegraph reported that Binance’s Proof of Reserves raised red flags for accounting and finance professionals and was called “nonsensical” by competitors, as it failed to include liabilities.