Binance liquidity problem? CZ addresses rumours

GM blurtlers! You’re in for a treat today — not only are crypto prices rebounding but we’ve got a tasty menu for you to devour.

WHAT’S ON THE MENU?

• CZ weighs in on Binance’s “liquidity problem”

• $24 million phishing nightmare

• Will JPMorgan launch its own digital currency?

Binance liquidity problem? CZ addresses rumours

Binance’s CEO, Changpeng Zhao, or as the crypto community knows him, CZ, has finally discussed the recent allegations made about his exchange.

Rumour spread on social media claiming that Binance may be facing regulatory difficulties and may have issues processing withdrawals. The evidence cited was senior executives recently leaving the company.

CZ has now responded to these rumours and has denied the negative reports saying that there is no problem with liquidity and all transactions are proceeding as they should. Further to this, all funds are 100% secure and safe.

He also went on to say that although there has been a recent increase in executive resignations — he thinks the company with the lowest resignation rate from the founding team across ALL companies, is probably Binance.

High-profile crypto whale suffers $24 million loss

News broke today of a crypto whale losing over $24 million worth of liquid-staked Ethereum to phishing scammers. This is one of the largest attacks on an individual in crypto history.

What the $#&@ happened?

Basically, the whale inadvertently granted token approval to the scammers by signing an “increase allowance” transaction which allowed the hackers access to the funds.

After the funds were stolen, they were siphoned to multiple addresses with a large amount ending up on the FixedFloat exchange.

How to avoid this happening?

In order to avoid this happening to you, the only way is to be hyper-vigilant about what transactions you sign. It is important to verify websites you visit aren’t malicious and that you’re only operating with well-known organizations that are verified to be legitimate.

Could we see a JPMorgan-backed digital currency?

Bloomberg dropped a report claiming that JPMorgan is considering launching a “new type of digital currency”. This is a pretty bold statement, but the report claims that it is information from someone pretty close to the company who wishes to remain anonymous.

Although it’s in the very early stages, the bank is allegedly investigating using a blockchain-based deposit token to accelerate international payments and settlements.

This would be an expansion of the bank’s current blockchain initiative which involves a system called JPM Coin that allows some clients to transfer dollars and euros within the bank. According to JPMorgan themselves, approximately $300 billion in transactions have been made using JPM Coin since its launch in 2019.

The anonymous source stated that the bank has the infrastructure ready to run the new payment scheme however it will not create a token unless it receives approval from regulators.

Meme of the Day (MOTD)

– blurtl