Binance co-founder Changpeng Zhao rejected claims that he and Binance triggered recent crypto price declines as scrutiny over the exchange’s role in market volatility intensified.
Zhao denied allegations that Binance dumped $1 billion in bitcoin to spark a weekend sell-off and said the movements reflected user trading activity rather than company action.
“Pretty imaginative FUD,”
Zhao wrote on X, pushing back against narratives that blamed him for canceling the crypto supercycle and engineering market losses.
He said Binance’s plan to convert its $1 billion Secure Asset Fund for Users from stablecoins to bitcoin would be executed gradually over 30 days to minimise market impact.
Zhao also dismissed suggestions that his recent comments expressing reduced confidence in the supercycle thesis undermined the long-term bull case for crypto markets.
The comments come as parts of the crypto community continue to blame Binance for an October 10 flash crash that wiped out about $19 billion in leveraged positions and damaged liquidity.
Zhao, who stepped down as Binance chief executive in 2023 after a $4.3 billion settlement with US authorities and a four-month prison sentence, remains an influential figure in the crypto sector.
At the time of reporting, Bitcoin price was $78,648.05.