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Changpeng Zhao, the CEO of Binance criticized for advising holding on exchanges

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  • Changpeng Zhao, the CEO of Binance criticized for advising holding on exchanges

Changpeng Zhao, the CEO of Binance criticized for advising holding on exchanges

BTC Casino / 23rd January 2019

There is a saying that there is no such thing as a bad advertisement and all advertisement is good advertisement. Changpeng Zhao, the CEO of Binance, the largest exchange in the world probably does not believe in that statement anymore. Binance’s CEO came under heavy fire and criticism after he tweeted out an advice for Cryptocurrency holders.
The tweet advised Crypto holders to store their holdings in big exchanges as opposed to personal storage devices like USB or hardware wallets. He implied that there is a greater risk involved with personal storage and “reputable” exchanges are the correct answer.

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Store coins yourself. You fight hackers yourself, and guard from losing wallet yourself. Computer breaks, USBs gets lost.
Store on an exchange. Only use the most reputable, proven secure, exchanges.
Or move to DEX, disrupt ourselves. https://t.co/Ci4ux9I3VD
— CZ Binance (@cz_binance) January 15, 2019

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Tuesday December 11, 2018

On December 7th, the Gemini crypto exchange announced they are adding support for Bitcoin Cash (BCH). Gemini will however, only support the fork, which is based on the Bitcoin ABC […]

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The tweet itself quickly became a meme and came under immense criticism from all fronts. This was mainly due to the fact that the tweet was actually posted as a response to the news of Cryptopia being hacked. The New-Zealand-based Crypto exchange was just recently hacked and it lost at least $2.44 million worth of Ethereum (ETH) and at least $1.18 million worth of Centrality (CENNZ). The amount was transferred to several unknown wallets and laundered.
Changpeng Zhao was under fire for his Tweet
At the moment, there is no additional information for the attackers, but the fact that Changpeng Zhao used this as a reference to the security of Crypto exchanges became a meme in itself. A lot of the comments were pointing out that he will eat his words when Binance eventually gets hacked. Some people even went as far as to accuse Zhao of being a scammer. WhalePanda tweeted out:

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There's always a way an exchange could get compromised. If you're 100% confident you're a scammer.
— WhalePanda (@WhalePanda) January 15, 2019

Cubits is Bankrupt and Withholding User Funds As OneCoin Ties Exposed
Wednesday December 12, 2018

Anger continues to engulf cryptocurrency trading platform Cubits after executives suddenly announced the company was bankrupt, blocking all user funds. Cubits Owner: Funds Recovery ‘Unsuccessful’ In a press release dated […]

The post Cubits is Bankrupt and Withholding User Funds As OneCoin Ties Exposed appeared first on BTC Casino Gambling.

Of course huge attacks like the one on Mt Gox back in 2014 are not something which is often seen. Despite that, attacks from that scale tend to happen and when they do they become a huge block in Cryptocurrency’s long and hard road to adoption and stability.
Most of the experienced people in the Crypto community are fully aware that there is no such thing as a completely secure Crypto exchange. Some of them even believe that it’s only a matter of time before Binance itself gets hacked.
Of course a lot of experts note the fact that Binance still does not officially have an insurance mechanism. At the moment, if the exchange indeed gets hacked, there is absolutely no coverage for users. And if Binance does indeed get hacked, the results could be devastating. Binance plans to assure users of Crypto exchanges’ reliability, it must provide coverage and security for its own clients first.
Read more:

Binance is crushing the competition! Where is Coinbase?
The Huobi Crypto Derivatives market reached more than $21 billion in trading
Binance Labs is investing in a US Over-the-Counter (OTC) trading desk
Binance has the biggest stablecoin trading community, according to the Tether Richlist

 

The post Changpeng Zhao, the CEO of Binance criticized for advising holding on exchanges appeared first on CoinStaker | Bitcoin News.

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