Last week, leading cryptocurrency exchanges Binance and Coinbase were rocked by lawsuits filed by the U.S. Securities and Exchange Commission (SEC). Following this event, Binance CEO Changpeng Zhao stated that withdrawals from centralized exchanges had increased. #CZBINANCE #btc $BNB

Withdrawal Data:

Prominent analysis platforms such as Nansen and DeFiLlama detected an increase in withdrawals from Binance in the past seven days after news of the SEC lawsuit against the exchange spread. According to Nansen's data, there was a net outflow of $2.36 billion from Binance in the last week. Binance.US also experienced a withdrawal of $123.7 million. DeFiLlama reported the outflows from Binance to be $3.35 billion, while Glassnode data showed a 5.7% decrease in Binance's BTC balance over the past seven days, equivalent to approximately $1 billion.

Zhao's Statements:

However, in a post dated June 10, Binance CEO Zhao pointed out that withdrawal data might be misleading due to certain third-party analytics measuring changes in managed assets as "withdrawals." Instead, Zhao claimed that the exchange's outflows in the past 24 hours as of June 9 were around $395 million. Additionally, Zhao emphasized that significant inflows and outflows are normal during periods of market volatility. #Binance #SEC

Analysis Platforms and Market Volatility:

With Zhao's statements, it is necessary to understand the differences between the data provided by analysis platforms and the reported withdrawals from the exchange. These platforms typically measure changes in managed assets as "withdrawals," while the exchange itself only reports withdrawals that occurred within a specific time frame. Additionally, it should be noted that market fluctuations can trigger significant inflows and outflows.

In summary:

The SEC lawsuits against leading cryptocurrency exchanges Binance and Coinbase have raised concerns among investors, leading them to start withdrawing their assets from these exchanges. Binance CEO Changpeng Zhao addressed the withdrawal data with his statements. While there are differences between the data provided by analysis platforms and the reported withdrawals from the exchange, Zhao emphasized that significant inflows and outflows are normal during periods of market volatility. $BTC