The cryptocurrency whale community strongly supports Binance, a top global cryptocurrency exchange, amidst the legal challenge from the U.S. Securities and Exchange Commission (SEC). Notably, these whales demonstrate their support by making substantial deposits into the exchange, signaling a resolute vote of confidence in Binance’s prospects and resilience.
To gauge investor sentiment, the CEO of Binance shared a thread on Twitter and conducted a poll to determine which entity excels in safeguarding investors within the crypto community:
Who protects you more?
— CZ 🔶 Binance (@cz_binance) June 6, 2023
The poll garnered an impressive response, with nearly 200,000 individuals actively participating. As the results currently stand, Binance enjoys overwhelming support, with a special rate of over 85%, whereas the SEC lags significantly behind with a mere 14% backing.
The SEC filed 13 charges against Binance and its CEO Changpeng Zhao. These allegations, detailed in an official press release, involve a range of securities law infringements and have sent shockwaves throughout the crypto market.
The lawsuit’s announcement triggered a rapid decline in the market, with Bitcoin (BTC) plummeting to $25.5K in hours. Nansen, a cryptocurrency analytics firm, revealed that Binance experienced a negative net flow of $778 million on the Ethereum blockchain. During this period, the exchange witnessed an inflow of assets worth $871 million, but a staggering $1.6 billion was transferred.
Lookonchain, a digital asset management firm, reported that FGB Capital initially withdrew $35 million USDT from Binance before the lawsuit’s revelation:
4 hours ago, @machibigbrother deposited all Bored Apes (39 NFTs) to @TheBinanceNFT.
Support @cz_binance after news of #SEC suing #Binance.https://t.co/NmhA9UnHmJ pic.twitter.com/lrPcoNwwqx
— Lookonchain (@lookonchain) June 6, 2023
Despite this turbulent market reaction, Binance has found unwavering support from the whale community. However, in a remarkable show of solidarity, FGB Capital reinstated $44 million USDT into the exchange as a sign of support during the ongoing legal proceedings.
FalconX, another influential player in the crypto space, has also stepped up to demonstrate solidarity. The firm deposited $29.5 million into Binance, effectively countering fears, uncertainties, and doubts (FUD) surrounding the exchange. Additionally, Machi Big Brother, a prominent trader of non-fungible tokens (NFTs), contributed to Binance’s stability by transferring all 39 of his Bored Ape NFTs to Binance’s NFT platform.
