2021-06-30 22:21:31
Here's Why This Shit Could Get Ugly I've mentioned this a few times in here before (over the past few months and even years at this point), but from various blockchain analyses I've conducted of Binance's holdings across a variety of cryptocurrencies, its
very apparent that their funds are symbiotically attached to those of
OKex, Huobi & Bitfinex.
If you're curious why this is being stated, just search "Binance Huobi" or "Binance Bitfinex" / "Binance Huobi OKex" or some variation of those terms and you'll likely run into dozens of post that map out (in excruciating detail w screenshots, URLs, company registrations, etc.), why I strongly believe that this is the case.
Implication Here is Massive Don't think that it will be regulators that collapse Binance but rather their unstable financial operations.
There are thousands (maybe tens of thousands) of aggrieved investors all over the world that are unable to get into contact w Binance customer service to resolve issues like their crypto funds not showing up, money missing out of their account, idiomatic liquidations, sudden verification issues etc.
These problems have gotten so bad that investors have started (multiple) groups dedicated to aggregating resources & information to launch a potential class action lawsuit or bring about some sort of enforcement action against Binance.
Again, the number of investors claiming to have been wronged by Binance (and Binance[.]US) is staggering at this point. And these are issues that Binance has acknowledged directly (via one of their reps publicly or through a press release on their website), so we know this isn't made up or FUD.
Imo that's the bigger concern than the looming regulatory threat. Because BitMex & other exchanges have shown us that they'll likely continue operating on the lam until there's literally nobody left with the freedom to keep the operation going. We've seen this w darkweb markets before where operators like Ross Ulbricht were arrested, yet the market itself still continued to operate in spite of his absence.
Since Binance is so spread out around the world, its highly unlikely that any one single regulatory action can cripple or end them (though I could be wrong) - so I think we should be cautious about putting too much weight on these investigations (though they are very serious).
However, one thing that will end them is insolvency. Ultimately, if nobody can get money on or off the platform & those w money currently on there report a super shitty trading experience, then something is going to give eventually.
Either people will panic suddenly and try to do a bank-run on Binance or they're just going to disappear / go offline like Mt. Gox did.
307 viewsedited 19:21
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