Binance CEO Boasts Increase in BTC, ETH and Top Coins in Exchange’s Crypto Wallets Despite Bear Market
Changpeng Zhao is well known for his work as the CEO of Binance, leading him to be the subject of an interview with CNBC Crypto Trader. During his discussion, he talked about the way that Bitcoin, Ethereum, and other crypto assets are increasing in their holdings on Binance. The bear market seems to have taken over the market as a whole, but Binance wallets are seeing holdings in cold wallets.
Zhao commented, “If you look at our cold wallets, the amount of BTC we hold, and the amount of it, especially for BTC because it’s the constant volume coin, but we have just seen an increase in people depositing Bitcoin’s to our exchange.”
Continuing, he discussed how this statement seems to be apparent for every cryptocurrency with Binance right now, noting that this is a “very good sign” for their platform. Binance seems to be the preferred place for users to keep their Bitcoin right now. However, Zhao spoke about the pattern that he normally sees with these cryptocurrencies, leading users to withdraw their coins around the time that trade volume increases. Right now, it doesn’t seem that the current wallet holders are doing the same.
Zhao added, “When we see an increase in BTC holdings over time, that means most likely people are not moving BTC to us. So, I don’t know if that’s the same situation with other exchanges but that’s a very obvious one for us.”
One of the other issues that Zhao brought up was the way that the Over-The-Counter (OTC) market is evolving, bringing in institutional investments. There are even some speculators in the market that believed that retail investor volume is over, which could be due to the market volume of OTC trading. Zhao noted, “So there’s at least 50% of volumes that’s not being reported on CoinMarketCap but we [Binance] are not very heavy into that business. So, we don’t know the real volumes.”
Right now, predicting what could stimulate the price changes in the market is difficult. However, Zhao believes that the introduction of more institutional investors in the market could be a “strong trigger.”