Founder and CEO of Binance, Changpeng Zhao, in a recent interview at Korea Blockchain Week (held from July 16 to July 20) shared his concerns over Tether (USDT). And, how the tenth largest cryptocurrency in the world can have an impact on the crypto exchange.
Since, Binance is one of the largest holders of the coin, Zhao was asked in case, the coin faces a downfall what impact will it have on the exchange. Zhao told Ran NeuNer, CryptoTrader host at CNBC that it will be worrisome. However, it is not just for Tether (USDT) the threat is equal for all other coins too.
As cited by AMBCrypto, Giving an example of fiat currencies and their history of market crashes. Zhao said: “We have seen fiat currencies go down in history a lot. Probably more times than they have been in cryptocurrencies. So, yes the concern is always there and that’s also why we’re listing other stable coins as well, so we actively promote other stable coins including the TUSD, …and others.”
Binance CEO was further asked if he himself has concerns over the coin. He reportedly said, Tether (USDT) is an entity of concern and worry and shared about the meet up with the Bitfinex team and Tether. It is to be noted that in the past year, Bitfinex and Tether have been linked with several controversies related to Bitcoin price manipulation. Two researchers at University of Texas known as John M. Griffin and Amin Shams claimed that Bitcoin prices were artificially inflated in December when the largest cryptocurrency in the world, according to market cap, reached its all-time high –$20,000.
Zhao, while talking about Tether said, “…I haven’t personally seen their bank accounts but, from a logical point of view… They have so many profits from their regular exchange business, they don’t need to do anything crazy about the Tethering.” He further added, “I think the reason they cannot release their bank account details is because if they release whichever bank they’re using, then the bank account gets shut down.”
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