Binance CEO Changpheng Zhao is dismissing the fear and uncertainty surrounding reports that the Commodity Futures Trading Commissions (CFTC) has launched an investigation against the global cryptocurrency exchange.
Bloomberg cites sources close to the matter who say the CFTC is looking into whether Binance has allowed Americans to buy and sell derivatives that may be in violation of US regulations. Bloomberg points out that the investigation may not necessarily result in coercive action.
In a new tweet, Zhao account his 1.1 million followers he is not too concerned with the CFTC investigation.
“It is not a bull market without some FUD (fear, uncertainty and doubt). Ignore the FUD, continue BUIDLing. “
The Binance executive also cites part of a report that emphasizes that the CFTC investigation does not currently pose a substantial threat to the global cryptocurrency exchange.
When you know, it’s FUD. pic.twitter.com/Phgs53mp9l
– CZ 🔶 Binance (@cz_binance) March 12, 2021
In addition, Zhao tweets a Bloomberg interview featuring Max Baucus, Binance’s government relations advisor and former US ambassador to China, who says the CFTC is just doing its due diligence as the broader crypto market is in the midst of a strong bull market .
“The CFTC is doing its job as it should. The United States Securities and Exchange Commission (SEC) is investigating cryptography. The Treasury is developing regulations. This is such a new phenomenon. It is appropriate for regulatory agencies to do their job.
I cannot say whether the CFTC is investigating Binance or not. It is not for me to say. But I know that they are looking, not investigating, looking at many other exchanges because it is the right thing to do. Binance was not charged with any wrongdoing. It is just part of the overall CFTC effort to find out what is going on because it is really explosive. ”
As reports emerged, Binance Coin (BNB) fell to a low of $ 253.95 from a high of $ 287.58, representing a drop of more than 11% in 24 hours. BNB is currently trading at $ 258.42, according to CoinMarketCap.
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