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Binance Users Withdrew $1.35 B of Bitcoin in Days Following FTX Collapse

Oliver Knight is a CoinDesk press reporter based in between London and Lisbon. He does not own any crypto.

The world’s biggest cryptocurrency exchange, Binance experienced record levels of bitcoin, ethereum and stablecoin withdrawals together with the implosion of competing exchange FTX.

Binance saw an internet 81,712 bitcoin ($ 1.35 billion), or more than 15% of the approximately 500,000 bitcoin on its exchange, pulled from the platform over the previous 6 days, according to information from CryptoQuant In addition, a web 125,026 ether ($155 million) and $1.14 billion in stablecoins were withdrawn from Binance over the very same duration.

Appearing on a Twitter area on Monday early morning, Binance CEO Changpeng Zhao appealed for calm, and stated a “small” uptick in the speed of withdrawals is regular when the rates of cryptocurrencies drop.

CoinDesk - Unknown

Bitcoin outflows from all crypto exchanges (CryptoQuant)

The withdrawals are an industry-wide problem, with Coinglass revealing almost 200,000 bitcoin pulled from exchanges over the previous 7 days bringing the level of bitcoin hung on exchanges to 1.88 million. Coinbase (COIN), Gemini and Kraken are amongst the crypto brokers seeing portion decreases comparable to Binance.

The quick exits were triggered by the implosion of FTX, which was among the biggest exchanges prior to it declared insolvency recently Speculation over the business’s financials installed following a CoinDesk report that determined holes in the balance sheet of FTX sis business, Alameda Research. Consumers rushed to rapidly withdraw funds from FTX, leading to a liquidity crunch.

Within days, FTX had actually seen its own bitcoin balance fall from about 20,000 to simply one

Binance made an effort to get FTX at the start of recently, signing a non-binding letter of intent just to leave an offer 24- hours later on.

Binance did not instantly react to CoinDesk’s ask for remark.


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Oliver Knight is a CoinDesk press reporter based in between London and Lisbon. He does not own any crypto.

Oliver Knight is a CoinDesk press reporter based in between London and Lisbon. He does not own any crypto.

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