Binance co-founder Changpeng “CZ” Zhao took to social media on Monday to counter a series of accusations he called “pretty imaginative FUD” aimed at him and his former exchange as the main culprit for the cryptocurrency’s dismal price action.
FUD (short for “fear, uncertainty and doubt”) is a term widely used in cryptography to describe the spread of false, misleading or exaggerated information that spreads panic in the market. It has also been used to dismiss criticism, even legitimate, that could affect companies.
In a post on Monday
“If I had that power, I wouldn’t be on Crypto Twitter with you,” CZ joked, responding to sarcastic takes that blamed him for derailing the so-called crypto supercycle – the long-awaited surge in digital asset prices driven by adoption and macro trends. The confusion appears to arise from a comment he made earlier, saying that he had “less confidence” in the supercycle thesis than before.
“That’s all I said,” he wrote. “I guess I’d have the power to break it then too. I’d be snapping my fingers all day.”
He also denied reports that Binance itself sold $1 billion worth of BTC to trigger the weekend sell-off, saying the funds belonged to users trading on the platform. “Binance wallet balance only changes when users withdraw,” he said. “Most users keep their balance on Binance and use Binance as a wallet.”
He also defended the slow pace of Binance’s plan to convert its stablecoin “SAFU fund” to bitcoin, announced last week, saying Binance planned to run BTC purchases over 30 days, likely in intervals. “You won’t see them buying using a decentralized exchange (DEX),” he said. “Binance is a CEX with the best liquidity in the world.”
His post comes at a time when parts of the crypto community continue to point fingers at Binance for the flash crash on October 10. The sudden crash wiped out around $19 billion in leveraged positions and left a lasting impact on cryptocurrency market liquidity. Star Xu, founder of rival exchange OKX, publicly blamed Binance for the event.
Zhao, who resigned as CEO of Binance in 2023 after the exchange reached a $4.3 billion settlement with US authorities and was sentenced to four months in prison, remains a central figure in the cryptocurrency world.
