A surge in Bitcoin withdrawals can be seen as Binance recovers from allegations of suspicious activity

Data from the on-chain monitoring resource Coinglass indicates that the BTC balance of Binance has decreased by over 30,000 BTC into Dec. 13. In fact, users have withdrawn 30,300 BTC ($515 million) in the 24 hours to the time of writing this report, which accounted for the majority of the week’s 40,150 BTC total.

Evidently, this is happening due to what CZ, Binance’s CEO, calls out “FUD.” Truth be told, after Reuters implied that the exchange will become the target of a United States money laundering case, panic hit and massive withdrawals started taking place.

CZ has however denied this, sharing a statement from Binance refuting the report’s claims. However, reports of a major token withdrawal by Justin Sun, CEO and founder of TRON, have kept the panic going strong.

According to Cointelegraph, even though Zhao took critics to task and returned $100 million in deposits to Binance, users were quick to act and remove their own funds from their accounts.

A temporary suspension of some withdrawals of Binance’s stablecoin, BUSD, was also ongoing.

Zhao wrote in a tweet “FUD helps us grow, even though they are thoroughly annoying”.

He also added in his tweet that “You can FUD about someone without explicitly mentioning their name, which spreads awareness. It also helps unite their supporters because it forms a common defense alliance,” 

Surprisingly, this entire disruption did not affect the BTC price at all, with BTC/USD hitting $17,500. In addition to that, Binance’s in-house token, Binance Coin, has risen from $250 to $267.

Source- Unlock. Media