Funny that in the cryptoworld transaction is block because : "The banks are not open for another few hours"
Binance freezes withdrawals of stablecoin USDC as investors pull $2B
141–150 of 309 posts
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#142Earlier quoted context omitted.
More like they trusted two (well actually three if you count US gov) centralized entities instead of one. It's like asking permission from both momma and pappa to eat desert. They should have just depended on the single entity backing USDC rather than putting themselves in a situation where they'd be also be fucked if Binance froze by leaving their tokens on exchange. When you put USD backed stablecoin on exchange yo…
> America decided dollars should float in the 70s, and most of the world followed. Except that a bunch of countries in Europe went back to pegged currency with the Euro[1]. Part of the reason the 2008 crisis hit countries like Italy, Greece, and Ireland so hard. --- 1. Yes - the Euro is not technically pegged; but effectively, it's the same thing. Each individual country in the Eurozone can't engage in independent mo…
Turns out having a monetary union but not a fiscal one is really destabilizing when things go wrong!
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#143Earlier quoted context omitted.
The most painful thing in my life is the fact I was sitting there thinking about putting 500-5000 usd into BNB at its token launch (for fractions of a penny), literally filling out KYC forms but ultimately felt it felt too risky to wire money overseas to a nascent Chinese crypto exchange. But then again, my risk aversion / caution in life has probably saved my life from car accidents or overdose so ehh whatever.
And you probably would have cashed out at a 10x multiple or whatever, so it’s not like you’d be a zillionaire today anyway.
As someone who bought AAPL at $17/share before the ipod was released. This is correct.
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#144I'm not defending Binance in any way, but this is FUD that is getting blown out of the water (arguably, people are on edge these days). It was pre-announced downtime for a hardfork on their BSC chain. https://twitter.com/cz_binance/status/1602510004795367424 It has caused a bit of a bank run and cz says things are processing just fine (along with tons of 3rd party confirmations). https://twitter.com/cz_binance/status…
"A bit of a bank run" is like saying "a small nuclear bomb".
This is a terrible low effort post. Anyone holding a large amount of crypto should have the majority of it in a cold wallet. It should take a significant amount of time to make that transfer because it should involve significant controls like multiple people travelling to a secure site.
An honest crypto exchange might see a "bit of a bank run" without raising any significant alarm.
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#145Earlier quoted context omitted.
Quoted post unavailable.
Because it's a nonsensical word that was only used by people to wave away obvious and legitimate criticisms. You don't see analysts reports in finance being called FUD, even when they are critical. That's because in the real world, people deal with and/or respond to criticism. In the crypto fantasy world, all of that is resolved just by calling it "fud".
In finance, they call it "irrational exuberance" or "irrational pessimism".
In politics, they call it "misinformation" or "fake news".
In slashdotting neckbeard techery, we say "fud".
The term exists in all fields, but signals your tribal affiliation in your choice of symbol.
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#146If they need to "boost their holdings" in USDC in order for their customers to withdraw these coins, what had they been doing with their customer's deposits ?
Funny, it is an "exchange" that takes a deposit, but doesn't actually purchase the promised cryto holding until a withdraw is made.
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#147Why hasn't anyone created a Non Fungible Stablecoin?
Mint NFTs that are pictures of 100 USD notes you have in a safe deposit box. Sell them for 100 USD. Make money by charging for redemptions of the specific notes you own via NFT.
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#148> The world's biggest crypto exchange will freeze all withdrawals of USD Coin while it conducts a "token swap" to boost its holdings of the dollar-pegged cryptocurrency, the crypto group's CEO Changpeng Zhao said Tuesday It's worth noting that USDC is not even a token controlled by Binance. It's controlled and issued by Circle. So effectively, Binance is refusing to honor its commitment to depositors to give them the…
Wait...they're refusing to allow on-chain transfer of USDC from their custodial account to a customer's wallet? I assumed this was about exchange of USDC to fiat, hence the hand waving about banks.
So let's imagine that Binance has $4B of USD customer liabilities backed by $2B of USDC and $2B of BUSD. Fully solvent and fully liquid. Then customers try to withdraw $3B of USDC which Binance does not have. Binance would be happy to give you BUSD but for whatever reason customers specifically want USDC.
(I am absolutely convinced that Binance is evil but this specific situation does not appear particularly bad.)
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#149Earlier quoted context omitted.
Quoted post unavailable.
Because it's a nonsensical word that was only used by people to wave away obvious and legitimate criticisms. You don't see analysts reports in finance being called FUD, even when they are critical. That's because in the real world, people deal with and/or respond to criticism. In the crypto fantasy world, all of that is resolved just by calling it "fud".
Thanks for the deeper explanation and higher quality comment. What other term would you use then?
Re: Binance freezes withdrawals of stablecoin USDC as investors pull $2B
#150Earlier quoted context omitted.
Quoted post unavailable.
I know it's s hard to keep cool in a heated thread, but it's better to just address the points one by one. In this case, they seem to have made some good points, even if they're being incredibly aggressive for no apparent reason. Keep it up.
Very good advice, thanks.