How Binance Melted Down in Less Than a Year | WSJ What Went Wrong
Вставка
- Опубліковано 19 чер 2024
- Binance skirted regulation to become the world’s largest cryptocurrency exchange by trading volume. Now, the company has pleaded guilty in the U.S. and agreed to pay $4.3 billion in fines. Here’s how the same strategy behind the company’s rise brought it crashing down.
Chapters:
0:00 Binance and CZ pleading guilty
1:11 Rise to the top
2:23 Turning point
4:30 CZ steps down
What Went Wrong explores the challenging conditions and decisions that led to a company's downturn.
#Binance #Crypto #WSJ
![How This Man Just Caused a $45 BILLION Crash [Terra Luna]](http://i.ytimg.com/vi/3KZY41SqaTI/mqdefault.jpg)
![How This Man Just Caused a $45 BILLION Crash [Terra Luna]](/img/tr.png)
“I embrace regulation” is code for “politicians, name your price”
and now it is
⛔⛔ The USA govt regulating Ponzi cons when the NYSE NASDAQ Junk T-bills are the largest PONZi ever!
@@roddeazevedo that’s definitely the underlying economic vehicle, but you need something to fuel it!
“I don't embrace regulation” is code for “criminals, name your price”
@@roddeazevedoyep and first he need to get a backing from politicans first😂
The problem we have is because Most people always taught that " you only need a good job to become rich. These billionaires are operating on a whole other playbook that many don't even know exists.
so Binance never lost anyone money, gets a fine which is a lot bigger than that of a bigger banking company, who has lost customers money or even fraudulently.
Indeed, this stinks from miles away.
@@haveaseatpleaseI dont understand, can you explained it to me, I have a couppe grand in binance😅, I am scared now
Absolutely ON POINT.
the SEC hates CZ to his guts, they are doing this witch hunt to take him down, because they cannot allow their censorship and total control over US citizens to be threatened by the free market.
CZ is legit and Binance is solid, they have always been
A couple of grand is peanuts, so don't be scared. If it would be a couple of million and you are not a multi millionaire, then I wouldn't get much sleep. @@hanscumyeah4216
As a Binance user myself, say what you want about crypto exchanges, but Binance has never "lost" customer's money. It's volatile AF due to the nature of crypto, but has been far more responsible than (many) traditional banks.
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Got to pay the big man first if you want to get the go ahead that’s what this looks like.
Yeah. USA still mad this guy exposed FTX
its cause sam bank man fried ftx is Jewish no wonder why he was so protected and treated as a golden boy
@@jimmy-yc6hv he was also helping the democratic party by funding I believe. He has a relationship with the SEC, Garry. It's all rigged guys
It's only fair. Binance tried to play smart
Binance did not fall and people did not lose funds, unlike ftx.
Not yet
I worried now, everything happening I keep recalling what happened to LUNA. BNB - BUSD I am so afraid.
it's not going to happen. Crypto is just the beginning. @@xyz-uw3ps
Yet.
@@xyz-uw3ps losing all your 50 bucks in one trade must have made you so hateful
Anyone keeping money in a crypto exchange is taking an incredible amount of risk.
And even bigger gains in return. 😮
most of the time its a lost LOL@@masonsoutdoorsportsmenadve4933
Keeping the money in a founds that makes you 3-5% a year when we had 15-20% inflation in the past years is the way to go ?
Coinbase seems to be the most steady in all this
Dude if 3 months you put in to just about any coin you woukd have doubled your return rate and some coins 10x their profit… also if it wasnt so applicable ask yourself this.. why is amazon using xrp… why is crypto on the stock exchange.. btc ada and ether… its not going away. If you get in now… ten years from now you wont regret this decision even if you lose now… halving is about to happen… its a 5050 chance vs a zero chance at the bank… you take a risk with a potential 100x return or even more..
It just keeps getting better. Excuse me while I light my spliff.
SBF said the same thing, “assets are safe”. That’s usually code for things are about to go downhill quick!!!!
CZ is actually savvy tho, SBF a fool
They are not the same
exactly . never trust official
Same?
@@MadelonMission The situation is the same.
The banks and government always win. You can’t have a currency that is global and that’s free of government control. Binance is a great concept/system/program. The worlds governments do not want to give up control of money.
Crypto is only used by investors, gamblers, and most importantly criminal. What's really the difference between government and corporate control.
AMEN!! DAM STRAIGHT!!!
Bitcoin is decentralized. Every other crypto is centralized by a few non-government players who can use market manipulations to screw over small investors.
Is FTX and Binance really a better alternative to the Federal Reserve?
@@vyros.3234 The U.S. dollar isn’t used by criminals?
...um...governments are supposed to control money...unless operating in a strict bartering system
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What about all the stock, bank and USD scandals/whitewashing going on? Why can they break the laws without punishment?
ahhh gee dude
US just being jealous Binance is not a US company
basically the SEC fined CZ (a non American, with a non American company) for allowing everyone, including Americans to trade safely and freely their own money on their own will.
If there is one evil player in here between CZ and the SEC, it's definitely not CZ
@@MlGHTY1 Why did he not get regulated in first place
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Fact check WSJ - Binance started in Vancouver, Canada until CZ moved to China to avoid regulatory issues in Canada.
We all know why they immediately jumped to China. 😂
@@MadelonMissionexplain, thanks
Zhao is Canadian.
@@yeetian2774with Chinese origin
@@crossbearer6453 trump is German origin and Biden is Irish origin. What’s ur point?
It's good that he plead guity and pay up and move on the business unlike FTX which is a total scam.
Only they were not guilty. It's all bogus and political charges. US Banks are far more corrupt.
he really should have made the website run from a blockchain. where a tax is paid through bnb transactions.
So true.
@@RockG.o.d At the time it was created they didnt have a bnb coin.
Cardven token will make millionaires, after CEX listing it will blow up.
Fauuuk yeah, Steal my money now!
😂 sec, wants to get rid of crypto exchanges. Don't give your money to blackrock.
I don't mean to sound gullible, but how is US gov able to force a non US based company pay such a penalty, are they fining then for BinanceUS, could someone enlighten me..
Because crypto is purchased with US dollars through US banks.
@@benjamindover4337 Thanks,
The biggest scammer was from your country and the exchange also, FTX
Walmart and Cardven token just signed a collaboration??
Bitcoin value is decentralised trust. People put all their Bitcoin in a central exchange that is antithetical to the tenet of the industry.
Exactly. Bitcoin just took a nosedive to $35,664.42 right now on November 21, 2023 at 4:03 pm. The entire market is crashing. Sam Altman and CZ have been defeated. BlackRock took down Binance. Kraken is next. Bitcoin crash will see $12k, conservatively!
That's a lot of big words for a scam 😭
You mean Blackrock?
@@mistervo8185Too many big words for your tiny brain I suppose. It's not that complicated a concept.
@@tradorj8354The price of an asset is whatever someone else is willing to pay for it. Cryptocurrencies have built in transaction mechanisms so you don't need to rely on centralized systems like exchanges or banks to transfer crypto.
I still hold all my funds I Binance..
Thanks CZ for saving crypto singlehandedly
They talk about a fall but its just a fine, new CEO. What ever they got more than enough money to make it through. They have been able to fulfill all customer money requests.
Where will they get the money to pay the fine?
@@shiftym1USDT . they have billions. They already transferred over 3 billion dollars from a Binance hot wallet
The customer money is “good” because Binance says so?
@@shiftym1 something called company profits
@@99HockeyDad99 Would the Ceo of a crypto exchange lie to you?
The media sure has good teamwork with regulators, blackrock, and coinbase. 🤣
🤣
Dude was thinking the same thing
Indeed
It is funny how Blackrock conspiracies always show up in the comments of crypto bros. It makes sense due to crypto bros' lack of financial knowledge. Most of Blackrock's portfolio is index funds that they have access or control over.
@@badluck5647 This is the most ironic statement I’ve ever seen considering BR has the most prominent ETF application in. As if BR has no future plans or stake in the game Binance is in.
They hate Binance because they are so cheap for users! they dont like us to have advantage....
Binanace's daily trading volume is 8 times more than Coinbase so they have to do something to slow them down. USA always plays dirty. They want to police the world. It aint going to happen anymore. Binance is regulated in all countries except USA think about that.
sick of govt.
I'm happy to hear this
Meltdown? Binance is still strong. That is why I have U.S. Gov't
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I’m celebrating a $30k stock portfolio today. I started this journey with 6k. I have invested on time and also with the right terms now I have time for my family and the life ahead of me
Wow, really. I was able to make my $25k on investment
@@tracyholian2944I’m looking for something I can venture into on a short term basis, I have $15k sitting in my savings
Assets that can make you rich
*FX
*Btcoin
*Stocks
*Gold
*Real estate
Does anyone know how many millions of russian money went through this exchange?
Do I need to worry about my funds in Binance wallet?
No binance is doing better than ever. Just look at the numbers.
I still trust binance more than the government
Me too
Why
@@maxz69 How much does 1 dollar inflate and lose value since 2009? And how much does BTC?
You lose your wealth gained by hard work simply because sovereign country's currency can legally be printed by printer or interest rate to rob working class bit by bit year by year.
@@pgdaszzz7399 I asked about binance not bitcoin. You perhaps misread the initial comment. Thing is that binance may collapse as a company all of a sudden, you never know.
@@pgdaszzz7399 Complete BS! Binance is a ponzi scheme.
No headquarters just means you cant find them if anything wrong happens!
Wait now Binance!?
the largest crypto exchange can't be some1 else other then Usa .. dats what's happenin.. no matter what happens the fact is binance ws he best exchange as of 2023 to chose from .. is there any better option?
Then how come China didn't want them?
@@maxz69 couldnt become biggest in China
Did those banks and their CEOs pay such fines in 2007/8?
Strict rules for crypto but the big banks get off very lightly ; that's justice for you .
Banks are incredibly regulated.
@@lbgstzockt8493Until they collapse and the government has to bail them out 🤡
@@lbgstzockt8493 But do their CEOs ever get punished or jailed ? 2008 is just another case along with SVB ,republic etc .
You know they're still operating? The thumbnail is very misleading, Binance has not fallen yet
Right it’s bigger than ever overall. This didn’t age well.
what is the intrinsic value of cryptocurrency other than being used for money laundering?
CZ saved Binance and it will remain the largest crypto exchange in the world. Must sting the SEC :)
The SEC doesn’t care, bro...
@@edema.3418they do. Entering an agreement with the CZ is like admitting there is a chance he could have contested some of the allegations. In exchange for operating rouge, binance was forced to snitch user data without any legal process to access it. How does that paint a govm't agency? Two wrongs don't make a right!
And now Blackrock can and will take over and be #1 😅
Yes. That's what its all about. Now that cz is out of the way, they will start building.
It is funny how Blackrock conspiracies always show up in the comments of crypto bros. It makes sense due to crypto bros' lack of financial knowledge. Most of Blackrock's portfolio is index funds that they have access or control over.
@@badluck5647BlackRock are also trying to get a Bitcoin spot ETF approved?
Don’t you think that’s more than enough motivation to get rid of CZ, who runs the exchange with the largest Bitcoin liquidity and trading volume?
maybe # in the US, but not in the world. the whole idea of crypto is be decentralize, only idiots will go back to centralization with BR or the likes. let the fools follow BR and the US gov.
@@badluck5647 Blackrock is one of the largest shareholders in the Bitcoin mining industry.
Best time to buy Solana was when FTX collapse. Best time to buy BNB is when CZ resigned?
Made my empire from 1K to 10M thanks to him
Send me some $ bruh 😂 share da load.
This is my goal
He just didn’t pay enough, and he’s a Chinese
He moved to japan to avoid being in china, how is that even a logical argument
You work for 40yrs to have $1m in your retirement, Meanwhile some people are putting just $10k in a meme coin for just few months and now they are multi millionaires. I pray that anyone who reads this will be successful in life
You're right, but a lot of people remain poor due to ignorance.
Not because of ignorance, It's because of the high rate of unprofessionalism in the crypto market.
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Is this why sell to card services isn’t working?
So CZ is ni longer the owner or ??
nice job Black Rock..now u play with all usa crypto money.
Lol...every who's who in crypto always seem to end badly!
Because it’s volatile, and when rich and powerful people lose their money, they get angry aim to destroy
You should get out of the house and turn off the TV
A dictator always want more than $1 billion.
I used binance a couple of years ago and could easily tell it’s a scammy exchange, if your bet is high and and you are margin trading, the binance algo will make sure they liquidate you, even if it means deviating 1-2% in price from other exchange. He should be in prison
@@ssddkar3577The market makers manipulate the price to liquidate as many positions as possible.
They will come against anything that smells money. Binance better eat with them. Alone, no survival
The best part is, not only Binance is illegal, the owners are not at all responsible for your investments!
I'm not saying that Binance should not be fined but a lot bigger companies skirt rules all the time and get much smaller fines. They should be fined a lot more too
Yeah.. crypto tho.
Crypto, Bitcoin is a threat to the U.S dollar which is why the U.S government will take harsher actions on exchanges.
No... Binance didn't even abide for the regulations while other companies start by abiding by the rules, how you can comparing between them?
Why would you not say that binance shouldn’t be fined? Weird thing to say.
@@niidaimehokage5731because there never was clear rules
Basically there's going to be another Bull run in crypto and they're not going to let binance get all the profits. And I mean Black Rock when I say they... As soon as they get their ETFs approved it's on
They can sell without buying mev bot to control the price even demand increase
Does he pay with actual money or crypto?
You Either Die A Hero, Or You Live Long Enough To See Yourself Become The Villain
No he has always been a criminal
@@bdegrdscriminal ? Lol FTX are criminals? They're getting back at him because he exposed The USA with FTX
its just like elon musk said sec is criminals ..
@@bdegrdsand a hero/antihero
Old school crypto enthusiasts always hated CZ and Binance. It's literally the biggest pump-dumpfest of shitcoins since the beginning.
Binance has become too big and they hit it hard. CZ is still a crypto legend. He will always be.
What's ironic is Binance's stable coin BUSD is backed by NYDIG = New York Digital Investment Group which means it's regulated. The SEC and the United States government are trying to make it difficult for Binance creating all these barriers but clearly they are still #1
Govts will do anything to stop crypto.
He is "guilty" for against American monitoring and control, and letting all people have free trade.
Fill your bags, Blackrock is coming.
Seems more like extortion to me....
when you have enough money, you dont have to go to jail
Oh regulated binance yaayya here comes the ETF now crypto is safe 😂😂 what a joke
So my money is safe or gone?
It’s there.
Who knows? There isn't any transparency with these illegal securities.
You do know money laundering right?
Or course your money is there,
The only difference is that he is not making money you,
He's making money on people who want to evade taxes or hide wealth.
So yeah your money is safe
Look at all the criminals calling CX a criminal!
So is Binance safe to use?
I'll be honest with you guys, after watching this video, and reading the comments, I still don't understand what rules were broken or whose money was stolen. Can someone help?
the world biggest scammer just raid the binance simple
No money was stolen or lost, just governments hate it when it's citizens move or hide money without paying taxes. So basically, Binance stole tax money from the government and the government is mad.
No money was stolen. 2017-2019 binance was available in the USA without kyc. That’s the issue no one was hurt financially.
Binance had too much control. CZ did his best.
INNBC medical cryptocurrency will benefit the most from the new regulatory requirements that will distinguish pointless meme coins from real projects with an actual purpose.
The SEC won't let CZ be
Well, now we know! Pay the government a few billion directly rather than the haphazard "donations" to politicians who will drop you like a hot potato when there's a whiff of any scandal. Too late for the unfortunate SBF!
Such an ignorant comment.
You probably never invested a dime in crypto and never used Binance services.
SBF was funding and bribing the Dems with money that didn't belong to him.
CZ never did anything close to that. He always stood by the user side.
Oh more likely you lost your 100 buck in a trade and now think you are a crypto expert
The SEC should undergoe a budget reduction for everyday it fails to produce clear rules for the Crypto community...
When BlackRock and the other legacy finance players will be in, you will see how faster the SEC will become.
Crypto is a joke
⛔⛔ The USA govt regulating Ponzi cons when the NYSE NASDAQ Junk T-bills are the largest PONZi ever!
CZ agree to pay big penalty just sake for their bianance community.
Is binance done now or is it going to live another day ?
His done nothing wrong . Problem is that USA banks and federal reserve doesn't like crypto
💯
Coinbase CEO cleaning his closet
Thought you would explained laws they didnt follow 😢
For the real reasons behind this attack on Binance, you have to be an insider, real reasons are never made public.
Someone once told me that the law applies equally to all while some will be locked away for life.Some outhers can pay there way out of it..Anouther victory for the trust department in crypto which gives us all anouther black eye
This is the way businesses operate. Ask for forgiveness not permission. Binance will be just fine.
As a small crypto investor using the Binance platform, I hope so.
💯
Binance was offered a deal by the SEC. The SEC only offers deals to those when are unsure of winning. People need to understand that CZ accept a deal to move on not that he was guilty. Happens everyday in life.
4.3 billion fine does not sound like a good deal..
4.3 billion deal is just the US government stealing all that money from ALL the crypto holders in the world. They just hide behind fancy words
better then get lost.@@aj9969
@@aj9969when CZ has like 96 billion? not a good deal? smh
@@TheDoomer666 does he though ? Even SBF had billions, until he didn't.
why they were not reigned in earlier.. why let them grow this much before regulators stepped in..
No details about the money laundering?
He did not steal anyone.
His only crime was success.
complete bs
The US government is jealous of companies that make money.
Completely agree
Illegal securities & money laundering
Yup 💯
Binance is going to be fine ❤💎
Is this sarcasm?
@@Jordan-RamsesNah yo, is THIS sarcasm??
@@user-fh1mf1gd1t One year ago amid the FTX collapse Binance processed 15B withdrawals in few days, without a delay. Now they are asked to pay a 4B fine, which they have reserves to pay for. If you think it's sarcasm, go short BNB.
Fall? Binance never fell.
i am keep using binance for sure
No surprise
Of course
Uncle Sam just wanted his share. Move on!
CZ: "When I said 4 earlier this year, I meant $4bn in penalties"
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It's strange how people talk about all the profits they have been making through trading of crypto, while am here making huge losses.
please can someone put me through on the right path or at least advise me on the strategy to follow.
Making touch with financial advisor like
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i only care if the funds are safu nd it seems like it is sooo
I wonder how ppl that use it feel about it
Fines is too easy, jail is what they are afraid of. All financial crime should have jail component as part of the penalty, after all this is criminal case.
The real question is, CAN BINANCE SURVIVE WITHOUT LAUNDERED MONEY PASSING THROUGH ITS BOOKS NOW THAT THE SEC CLEARLY IS WATCHING EVERY SINGLE MOVE.
Exchanges such as Binance only works if you can trade ANNONYMOUSLY. Which is lost once they comply with Anti Money Laundering Laws in the US.
Will they be overlooking the whole of binance or us binance or its US based users on binance?
If it is as a whole, who gives them the right to look at users from another country.
Supper curious to know the answer.
@@moizkhan8057nobody gives the right they just buy the data with a deal to allow them to operate minus the fine...
Just like the UBS bank scandal in Switzerland. All it takes is a snitch and you can extract whatever data you want since the result was uncovering tax evasion nobody asked what happened to the rest of the data, the results just justified the means and the country harbouring that data did not dare to speak up since it uncovered strategies to facilitate tax evasion.
Without regulatory, independent corporate will easily engulf other players.
make 60bil doing with fraud, pay 4bil fines. 56b profit. Sounds like a good deal to me.
Nothing went wrong, everything went as planned. That penalty was probably a drop in the bucket for what's really out there.
How much BTC out there that's being traded on Binance's platforms?
Yeah yeah everything is always fine there is enough money dont panic…. lol SBF said the same thing