CEO Changpeng ‘CZ’ Zhao runs the exchange without a chief financial officer.
Assets Outflow Analysis
According to a recent analysis of the exchange, Binance has recorded over $12 billion in asset outflows in the last two months, with $360 million coming last Friday. The BNB coin has also lost 30% of its value within that time, leaving Binance with only 29 billion of the coin.
Why is Binance Losing Assets?
The performances of BNB and BUSD reflect the growing lack of investors’ trust in the exchange. Binance also allegedly sent $232 million in BUSD to Binance.US, which raised questions about CZ’s capability to manage the exchange, which has been without a Chief Financial Official (CFO) since the departure of Zhou Wei in June 2021.
On the Flipside
Binance’s co-founder, He Yi, has said that no company employee is allowed to conduct personal short-term crypto transactions and must hold the position for more than 90 days before trading.
Why You Should Care
Binance has not emerged unscathed by the nearly year-long crypto decline, which has caused the collapse of several top companies. The Outflow of assets from Binance is significantly worse than CEO CZ indicated.