What if, Binance follows FTX?

Rumors, FUD, FOMO if anybody wants to get to know about these feelings, probably crypto industry is best suited for you. Wherever you go, you will find something which will somehow intimidate you do take actions based on those emotions. Regardless, this is how crypto market actually works and this is how it will in the coming days as well.


It is no doubt that crypto market is going through a rough patch. CEX and DEX have been playing a vital role in maintaining the balance in crypto market. If either one of these gets affected, violated, hacked, goes bankrupt we the users and everyone related to this industry gets affected in one way or another. Remember when FTX collapsed, we witnessed one of the most devastating effect of it in the entire crypto market. Till today, we are bearing the consequences of that action. Every major exchanges (CEX/DEX) plays a key role in crypto industry. Any one taking a hit, directly/indirectly everyone related to crypto industry takes a hit.


For the last couple of days, there has been a rumor about Binance, which might get bankrupt or more precisely, there are people/community assuming that this is the end of binance, based on their theory. Which is why, almost everyone is somewhat concerned about this matter. Yes, even every veteran in crypto is not taking this lightly. As even if it happens, I am saying it will, the after shock of this incident will take crypto few months or even years to recover from this issue. Lets pull up some data in order to see what is actually happening at the moment in CEX, DEX, Binance and other crypto exexchanges.


Binance is the world’s largest crypto exchange by trading volume. While starting its journey from 2017 it has grown to an astounding number of registered users and have been serving users quite faithfully. In bear market the CEO and others were supportive towards the community. They have been performing tasks from their side to lift up the community as much as possible, in every situation in the past years. In comparison Binance has the highest liquidity, users, trading volume in crypto market. If and anything happens to it, the after affect of this incident would be humongous.

Binance	Coinbase	Kraken
$ 6,253,011,424	$ 991,406,647	$ 669,823,149

According to CMC data, Binance's financial data is quite hefty. As it seems it would be quite difficult to make such allegations against Binance.

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There was an interview, where CZ mentioned they have enough revenue from Binance, which will help them sustain their economy. Not only that, with the user base increasing and the volume that are being traded in Binance, they get substantial amount of fees deduction from each trade executed successfully. Also there are withdrawal fees which are deducted by binance during withdrawal. This is also a very big point for binance in the long run. In addition, they have quite a lot of services which are provided by this CEX. Borrow, loan, staking are few of those options. In addition to that futures trading, options trading and much more. All together Binance has spread its wings, making their world a lot bigger than we can think of.

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Now lets talk about, the Elephant in the house!

If you do not hold your accounts keys, you are not the owner of your crypto!

We are in crypto industry to get rid of censorship, be our own boss, be financially free and enjoy the life as much as we can. To summarize it, we need to be held accountable for our actions. Whatever happens, we should be responsible for our assets, crypto, accounts. Which is why web3, is getting so much focus lately. Whatever happens in our account, it is our sole responsibility. When it comes to CEX, they themselves can not guarantee what will happen to them, let alone our funds. Also there are countless issues regarding CEX. They can ban the account of users, they can freeze the assets, they can do whatever they want with our funds. Which is why, it is always said everywhere, never keep your funds in any CEX.

Come on, grow up and take the responsibility for your actions.

At last, it is for certain that if anything happens to Binance, overall the crypto market will fall into turmoil. It will take much longer time than FTX incident to recover from that pit hole.


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Best regards

Rehan

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