Binance may delist US-based cryptocurrencies
Cryptocurrency is highly speculative, and false news can blow away its valuation and set panic in the crypto market. Earlier, various media outlets reported that Binance may delist US-based cryptocurrencies. However, the reports are FALSE.
Binance Holding Ltd. Is a trusted name in the cryptocurrency metaverse. They have customers from all over, including the United States. So, any hashtag about Binance will surely make headlines, which it did in this case.
The news of de-listing was brushed aside immediately, however, not before causing unrest amongst investors.
- The Bigger Picture
Binance is one of the largest and most trusted cryptocurrency exchanges, and certain media outlets reported that Binance is de-listing Us-based cryptocurrencies. It possibly misinterpreted Binance CEO’s tweet, saying, “We pulled back on some potential investments, or bids on bankrupt companies in the U.S. for now. Seek permission first”.
However, since there was no elaboration to follow the tweet, thus certain people were quick to relate as if the company would de-list all cryptos coming out of the States.
As the news got wings across the crypto world, Binance CEO must clear the fog.
Changpeng CZ Zho said that the report about Binance may delist US-based cryptocurrencies is “false” and baseless.
- Past Incidents
Although Binance is reconsidering many partnerships in the U.S., the news of delisting certain cryptocurrencies is wrong.
Furthermore, U.S regulators have stepped-up the gas while scrutinizing cryptocurrencies this year. The regulatory actions have increased the last year’s multiple meltdowns in the crypto sector that saw a string of major players collapsing in the U.S. and beyond.
Recently, Binance was ordered to stop issuing its stablecoin by New York’s top financial regulator. As a reaction to this, Binance suspended all dollar bank transfers. Moreover, Signature Bank, Binance’s partner bank, dialed back exposure to crypto companies.
Moreover, Binance is under the microscope of numerous authorities, including the Securities and Exchange Commission, the Commodity Futures Trading Commission, and the Internal revenue Service.
So, things have been boiling up over the past six months regarding U.S. cryptocurrencies. However, the news of the delisting by Binance is wrong, as the exchange has cleared it.
- The Future of Binance in the U.S.
Although Binance is not listed in the United States, however, with increased pressure from U.S. authorities, they may consider their business partnerships.
But, we cannot see Binance completely shutting down its operations in the States. However, they may shift their focus to more crypto-friendly countries.
Moreover, Binance may seek to register itself in the United States by complying with all the regulatory requirements. As we can see, many other crypto exchanges have already listed with the United States, so to offer their clients confidence, there are bright chances Binance might enroll itself.
- Investor’s Reaction
The investor’s reaction to the news was pretty subtle; luckily, there were not many panic sales. Although it caused uneasiness, on the whole, people waited for the official verdict.
It clearly shows that people trust Binance and are not putting ears to false news. It also shows that the crypto market is getting mature and becoming less reactive to fake allegations, which is a good thing for such a volatile market.
The prices of cryptocurrencies also remained steady, offering time for Binance to clear any doubts.
Parting Thoughts
There is no doubt that Binance is not delisting US-based cryptocurrencies; the Binance CEO already clears it via his Twitter account.
Although the news caused a few ripples in the crypto market, the waters are back to smooth flows.
The main reason behind this false news was triggered by the authority’s hard stance on cryptocurrency since late last year. Binance and a few other crypto exchanges have already taken steps to stop partnering with U.S.-based financial systems.
So, the need of the time is to let the crypto market operate and screw those trying to harm it.