Binance saw an increase in withdrawals following the CFTC’s lawsuit against the exchange
As AZCoin News reported, Binance Holdings Ltd. and its CEO Changpeng Zhao, popularly known as CZ, are being investigated by the US Commodity Futures Trading Commission (CFTC) for alleged violations of trading and derivatives rules.
How the CFTC’s legal measures against Binance would affect the exchange’s users and trading volume is unknown. Yet, it is probable that it will result in a decline in crucial metrics and a loss of users.
Withdrawals increased after the news, and $169 million has been taken from the exchange, compared to only $46 million in deposits, resulting in a net outflow of $123 million.
This graph shows Binance inflows and outflows since 13:00 UTC. The lawsuit was released at 14:57 UTC Source: Dune Analytics
According to Nansen, a cryptocurrency statistics company, Binance has $63.7 billion in cryptocurrencies. The information is based on a list of wallets made public by the exchange to demonstrate transparency in its holdings.
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