Binance is the latest crypto giant to be placed in the spotlight following significant withdrawals and a reportedly delayed conclusion to a US investigation. In response, the firm has reassessed that it is financially healthy and debt free.
Despite the confidence, an internal memo reveals that CEO Changpeng CZ Zhao was nonetheless concerned about near-term challenges.
While we expect the next several months to be bumpy, we will get past this challenging period – and we’ll be stronger for having been through it, according to the memo which was cited in a report.
On the paused withdrawals, Zhao explained that US dollar stablecoins were being retained for future use.
With regard to questions on the temporary halt of withdrawals of USDC, because we auto-convert USDC to BUSD to retain large liquidity pools, we generally retain USDC deposits for future withdrawals, Zhao said in the memo.
The crypto billionaire added that Binance is facing a lot of extra scrutinies and tough questions» on the withdrawals but assured that the organization is built to last and will survive any crypto winter.