Binance CEO ”CZ” Says The Exchange Does Not Hold Any Of Terra’s UST

Binance CEO “CZ” in a tweet on Monday clarified that the exchange did not buy, and does not own any UST.

Any UST the exchange had was from trading fees, and is now valued close to zero- following a severe crash in the token.

After the LUNA and UST crisis, users were skeptical about whether Binance or “CZ” holds UST as the company had invested in Terra’s projects. Binance’s CEO had earlier recommended Terraform Labs to either burn or buy back UST tokens to revive the stablecoin.

Binance Does Not Hold Terra’s UST: Binance CEO “CZ”

After reading comments on Twitter pressurizing CZ to disclose UST holdings in Binance, Binance’s CEO has now been notified by his team that the exchange doesn’t hold UST, except for what the exchange gets from trading fees. However, the value of UST is now zero. He said:

We probably do have some from trading fees. Probably valued close to 0 now. (Think of it as free trading in the past, haha). This just wasn’t on my mind. Not how we prioritize things. Users first.

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-CZ

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Binance had invested $3 million in the Terra project during the first fundraising round. However, the company didn’t take part in the second fundraising round. In response to rumors circulating on Twitter that Binance had invested largely in Terra’s UST. Binance CEO “CZ” said:

“There were discussions, never closed. Binance did not buy UST.”

He has also suggested that the Terra team should be buying back or burning tokens instead of forking and minting. He believes forking and minting will not help revive UST.

In response to CZ’s tweet, users appreciated the transparency of the Binance exchange and team. Moreover, claiming transparency as the reason behind Binance’s success in becoming the world’s largest crypto exchange in daily trades.

LUNA and UST Still Under Pressure

Even after a week of LUNA and UST tumble, Terraform Labs hasn’t been able to revive or come up with a better proposal. At the time of writing, the LUNA price is trading at $0.00023, and the UST price is $0.16.

Meanwhile, Vitalik Buterin supports that Terraform Labs should protect small investors of UST and LUNA.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.

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