Binance has seen a significant outflow of funds
Binance has seen a significant outflow of funds
The departure of Changpeng Zhao from the post of Binance CEO has negatively affected the cryptocurrency company's credibility and contributed to an increase in user outflows.
According to the latest data from DefiLlama, the world's leading cryptocurrency exchange has seen a surge in withdrawals in the last 24 hours, exceeding $1 billion.
News of Binance's $4.37 billion settlement with the U.S. Treasury Department and Zhao's departure sent shockwaves through the industry, casting doubt on the exchange's future despite
its claims of resilience.
The significant exit underscores the concern and uncertainty surrounding Binance amid legal challenges and leadership changes, CoinGape reported.
Meanwhile, as Binance grapples with the fallout from its founder's plea deal, other exchanges have seen notable inflows, with OKX leading the way with net inflows of $152.02 million in the last 24 hours.
Cryptocurrency exchanges Bybit and Kucoin also saw inflows of $51.34 million and $31.58 million, respectively.
However, despite the significant outflow of funds from Binance, it still maintains its leadership among crypto exchanges in terms of assets.
In the meantime, Binance announced the delisting of 10 major trading pairs, including Aptos (APT), Axie Infinity (AXS), and Filecoin (FIL), which are pegged to BUSD, the exchange's stablecoin. Many crypto market participants also attribute this decision to the deal with the U.S. Department of Justice and the tightening of regulatory controls.
It's worth noting that, as part of the agreement with the Financial Crimes Enforcement Network, Binance will undergo a "full exit" from the U.S., and a monitor will be appointed for five years to oversee compliance with restrictions and have access to all of the company's data.
Changpeng Zhao is scheduled to be sentenced on February 23. If found guilty, he faces up to 18 months in prison.
Also read: Crypto companies have received a warning from the U.S. Treasury Secretary.
