Binance: The Next Big Collapse? Whispers Of Insolvency Grow…

December 16, 2022 10:52 am Comments

Rumors that Binance may be the next big collapse are circulating…

Fueled by Mazars’ removal of the recent proof of reserves audit from its website, the refusal of Binance to compensate 3 comma victims, and what many are calling a disastrous interview via CNBC.

Changpeng Zhao assured Becky Quick of CNBC that the company was “financially strong”, but many investors and customers are not so sure.

The collapse of FTX has left the confidence in centralized exchanges shaken in the minds of investors; will Binance be able to survive the FUD generated in the wake of the FTX collapse?

Beyond that, are the rumors even true? Is this merely the latest case of fear, uncertainty, and doubt rocking the market, or is Binance truly insolvent?

It should be noted that Mazars has discontinued crypto auditing in general, so it may not be a reflection of Binance per se, but rather, an indictment of the entire centralized exchange industry.

While we never give investment advice here at ProCoinNews, and you should always do your own research before making any financial decision, most investors will caution against keeping any funds stored on a centralized exchange.

Rumors circulated via Twitter, pointing out several bits of news that investors, traders,  and crypto enthusiasts found troubling:

U Today reports this dire warning from Jim Cramer of Mad Money:

In a Friday tweet, longtime CNBC host Jim Cramer argues that Binance, the largest cryptocurrency exchange by trading volume, has “no real legitimacy” following the implosion of its main rival.


According to Coin Telegraph:

Crypto exchange Binance has seen its proof-of-reserve audits removed from auditor Mazars’ website.

Mazars’ official website shows they fully discontinued Mazars Veritas, a section dedicated to cryptocurrency exchange audits. The tool was developed by Mazars in order to bring “trust and transparency to the digital asset sector,” using the Silver Sixpence Merkle Tree Generating tool to complement proof-of-reserve reports.

Join the conversation!

We have no tolerance for comments containing violence, racism, profanity, vulgarity, doxing, or discourteous behavior. If a comment is spam, instead of replying to it please click the icon below and to the right of that comment. Thank you for partnering with us to maintain fruitful conversation.