Paolo Ardoino responded to a recent incident that happened with top-ranked stablecoin on the Binance crypto exchange.
BinanceUS is an independent subsidiary of the Binance crypto exchange. The services of BinanceUS & Binance are independent. In the present time America’s top two financial regulators, namely the Securities & Exchange Commission (SEC) and the Commodities Futures & Trading Commission (CFTC), are investigating BinanceUS’s services deeply over alleged unregistered securities & commodities offerings in the US.
On 10 July 2023, USDT, a top-ranked stablecoin in the Crypto market, was trading at a $0.9141 value. On behalf of the plunge in the USDT pegged value on the BinanceUS, the majority of the people got into panic & tried to sell their USDT on other platforms (international exchanges).
Tether CTO Paolo Ardoino responded and provided clarification on this matter & confirmed that USDT is pegged perfectly and the main reason behind the downfall in the USDT’s pegged value was the low liquidity issue on the BinanceUS platform.
The Tether CTO also explained that BinanceUS is currently facing several legal challenges and because of these legal issues, crypto traders are trying to remain away from the BinanceUS platform.
I saw few accounts overnight suggesting that since USDt is trading below par on https://t.co/Zy5QwYdrr6 then USDt is depegging…
Here are the facts
– https://t.co/Zy5QwYdrr6 is going through some legal challenges so it probably doesn't have many market makers willing to… pic.twitter.com/VnVSYA7tfI
— Paolo Ardoino
(@paoloardoino) July 10, 2023
(@paoloardoino)
Ardoino also drew attention toward Bitcoin trade price on the same day and noted that BTC was trading at nearly $27,000 but at the same time, Bitcoin price was $30k+ on all other crypto exchanges.
Following the SEC’s suit in the first week of the last month, the Binance team delisted 100+ crypto assets trade pairs from the platform.
In the present time, only a dozen of flagship crypto assets are allowed to trade on this legally struggling crypto exchange and this is the big reason why the exchange is failing to get a sufficient amount of crypto fund liquidity & trade volume on the exchange.
Read also: Dubai Watchdog rejects BitOasis’s crypto license
Tether CTO explains why USDT traded below pegged price at BinanceUS
https://bitcoinik.com/tether-cto-explains-why-usdt-traded-below-pegged-price-at-binanceus/feed/
https://bitcoinik.com/tether-cto-explains-why-usdt-traded-below-pegged-price-at-binanceus/feed/
