On the 14th of December 2022, CZ, the CEO of Binance went on Twitter to address the fear, uncertainty, and doubt that currently plagues Binance and the crypto industry.
FUD brought "stress test", which in turn helps to build the credibility for exchanges that passes the test.
If you want to hold your own coins, feel free to use @TrustWallet. Please keep your private keys safe.
— CZ 🔶 Binance (@cz_binance) December 14, 2022
According to him the FUD within the industry is a “stress test”. One that helps to build credible exchanges and establishments that pass its test.
The FTX situation has brought to the limelight the dangers of centralized crypto exchanges and the lack of control users have over their assets in such places as Binance and FTX. Unearthing the saying “not your keys, not your crypto”.
This has also led to a lot of innovations in the decentralized sector with such projects as THORChain Saver Vaults, that act similarly to the saving features of centralized exchanges. Thus he acknowledged that if users now prefer to hold their assets, over putting them in such centralized establishments, that is a valid decision and Trustwallet will be valid to keep their assets safe, so long as they are careful with their keys.
But if they intend to once again have faith in such establishments that have survived the FTX crash, and its ripple effect, then Binance is still available to satisfy such wishes.
It’s obvious that the FUD in the industry is affecting even credible regulated exchanges like Coinbase, which made less than 50% of its revenue this year as opposed to last year. Prices are down, liquidity is drying up in some projects, and users are pulling out funds to avoid loss.
But CZ is of the opinion that Binance’s growth is a result of FUD.
FUD helps us grow, even though they are thoroughly annoying.
You can FUD about someone without explicitly mentioning their name, which spreads awareness.
It also helps unite their supporters because it forms a common defense alliance.
Short thread. 1/4 https://t.co/PlxhqV5cZS
— CZ 🔶 Binance (@cz_binance) December 13, 2022
He recounts when they started Binance and competitors created specialized FUD against their establishment. The action had the opposite effect as they weren’t capable of the social media reach they have now.
For that reason, these competitors were essentially helping them by spreading the word and publicizing the creation of Binance. Plenty investors who weren’t swayed by mere fear or doubt reached out to him and his team and invested in them, expanding their exchange and making them what they are today.
Due to that experience, he believes that Binance is now capable of ignoring the FUD and focusing on building. He then thanked users that have been supporting Binance, acknowledging that the number one centralized crypto exchange will continue passing the stress test that FUD brings.