Binance co-founder and former CEO Changpeng Zhao denied reports that the cryptocurrency exchange was up for sale. In response to the rumors on X (formerly Twitter), Zhao discarded the claims as pure fabrication and linked the matter to a competition exchange attempting to spread FUD (fear, uncertainty, doubt).
On February 17, Zhao wrote that the some ‘lofty self perceived competitor in Asia fudding about Binance (CEX) for sale’. For Binance, as a shareholder, it is not for sale.
https://twitter.com/cz_binance/status/1891454582871519714
Yi He, one of Binance co-founder, echoed Zhao’s words, saying that the rumors were part of the plan of a competitor as part of a public relations strategy. Rather than selling, she stated that Binance is still interested in acquisitions and encouraged exchanges looking for a sale to contact.
https://twitter.com/heyibinance/status/1891410380536074582
Speculation Rises Over Binance’s Financial Stability
After a noticeable shift in Binance’s asset holdings, speculation about the exchange’s financial status intensified. In an X post on Feb. 11, AB Kuai.Dong remarked on a huge decline in Binance’s reserves, including Bitcoin, sparking discussions on whether the company is stable enough.
But Binance promptly dispelled the scene, stating that the asset movements were part of an internal treasury adjustment and did not indicate the financial distress or sale of the asset.
Binance is the world’s largest cryptocurrency exchange by trading volume, yet it is still under a heavy regulatory spotlight. Zhao pleaded guilty to violating U.S. anti-money laundering laws and earlier this month was sent away for a four month prison sentence. Richard Teng, succeeding him, has concentrated on compliance as Kong has, alongside ongoing legal challenges, departed this exchange.
Following allegations of money laundering and tax fraud, Binance is one of its latest regulatory battles in France. According to reporters, the Paris Public Prosecutor’s Office is looking into what Binance did from 2019 to 2024 and whether it could be tied to financial crimes involving drug trafficking. All allegations have been denied by Binance.
Binance Secures Temporary Legal Pause in the U.S.
In the U.S., Binance has had a temporary break from its legal situation. Binance and many others joined together on February 10 to bring a motion for an 60 days pause of the case and SEC on February 11, the motion was granted by Judge Amy Berman Jackson on the subsequent day.
That role may fall to the SEC’s Crypto Task Force, which also agreed to a joint report from both sides on completion of the stay regarding whether there should be any proceedings or if this is a problem they could resolve themselves.
Binance has gone about to improve its internal compliance as well. Recently, Yi He told Reuters that throughout the period, the company did over 120 internal audits involving U.S. law enforcement cooperation and sacked 60 employees for violating company policies.
Despite lots of chat yet still lots of speculation about Binance on Twitter, Binance has stood firm on the point that it is not for sale and it is interested in regulatory compliance as well as operational stability.
