Binance has halted withdrawals of USDC stablecoin, CZ promises they will be restored soon
Chinese crypto journalist Colin Wu has reported that the largest exchange by trading volume, Binance, which is currently experiencing massive outflows, has halted withdrawals of the USDC stablecoin.
USDC withdrawals from Binance on pause
The tweet further stated that, according to CZ, the pause was necessary since people are converting PAX/BUSD into USDC, attempting to move the latter from Binance.
This process requires funding in USD through a bank in New York. According to Changpeng Zhao (CZ), withdrawals will be restored as soon as banks open in a few hours.
As for withdrawals of USDT and BUSD, those are functioning properly.
As previously reported by U.Today, the US Attorney’s Office is considering charging Binance with money laundering, so in the past 24 hours, there has been a massive withdrawal of crypto, mainly Ethereum and ERC20. Token key.
Investors moving their funds off Binance, CZ blames FUD
The recent outflow of crypto from the exchange has come close to $2 billion. Binance’s CZ responded to the news about possible charges, saying that this is FUD (fear, uncertainty, doubt).
He posted a thread showing that FUD has been following Binance since its ICO in 2017, when several articles were spreading negative news about the young crypto exchange as it was raising funds for its launch.
CZ claimed that FUD also helped Binance as many decided to invest in the ICO since they believed that a lot of negative news can certainly be only about a promising project.
Meanwhile, Binance’s native BNB token is falling heavily. BNB is down more than 10% since the start of the week. It has declined by 5.61% in the last 24 hours. However, so far, it has recovered a part of its losses, rising 2.54% and trading at $266 per unit at the time of this writing.
