September 7, 2024
Capital flight from Binance subsides: Report

Cryptocurrency exchange Binance appears to have seen a sharp decline in withdrawals following last week’s $4.3 billion settlement with the U.S. Department of Justice.

Data from blockchain analytics firm Nansen shows that Binance has seen a net inflow of $87.4 million in Ethereum token deposits over the past seven days. Meanwhile, net withdrawals from multi-chain tokens totaled $59.2 million, including Ethereum (ETH), Binance Coin (BNB), Avalanche’s AVAX (AVAX) and Polygon’s MATIC (MATIC).In the initial stages of the $4.3 billion settlement, Binance users quit Over $1 billion from exchanges.

Since then, Binance users have withdrawn more than $7.62 billion from the exchange, but also deposited $7.56 billion in digital assets, Nansen data shows. The value of BNB, the official token of Binance BNB Smart Chain, has remained essentially unchanged at $227 over the past month.

After the settlement, Changpeng Zhao immediately resigned as CEO of Binance and resigned as chairman of the board of directors of Binance.US on November 29. As part of the settlement, Changpeng Zhao pleaded guilty to money laundering and faced 18 months in prison. 10 years in prison, depending on how federal sentencing guidelines are interpreted. The sentencing date is February 2024.

Richard Teng, Binance’s former head of global regional markets, was appointed CEO following Zhao’s departure. In his first blog post as CEO, Teng said: “I am deeply committed to the promise of blockchain, such as opportunities to increase financial inclusion, cross-border remittances, and reduce transaction costs. I also see the opportunity for individuals to The opportunity to have greater control over your own personal data.”

Related: Binance launches pilot program for bank-custodian collateral