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voyager1 | 3 years ago

It amazes me how confident the comments against and in favor of crypto/Binance are. It is very likely that you don't have appropriate knowledge or don't have access to critical information as to why something is the way it is.

The youtube link posted below is supposedly revealing irregularities with the audit, but the basic knowledge of how the blockchains work invalidates the irregularities. The claim is that the audit is missing a bunch of wallets and coins, but they don't understand that BSC, ETH and BTC wallets also hold other coins, not just BNB, ETH and BTC (e.g. ETH and BSC wallets can hold basically any coin and even BTC wallet can actually hold USDT/TETHER).

Unless you work at Binance and have access to all the financials, your guess is basically a coin flip wether they are solvent or not.

As an example, a few weeks ago crypto.com was said to be insolvent and there was a bank run [1] [2], however nothing collapsed. As always, be cautios, not your keys, not your coins, but I would definitely not bet (short) that they would collapse.

“It ain’t what you don’t know that gets you into trouble. It’s what you know for sure that just ain’t so. “ – Mark Twain

For fellow technological enthusiasts, an interesting innovation from Binance: they generated the merkle tree where any Binance user can independently self verify his assets within the platform [3].

[1] https://news.ycombinator.com/item?id=33590579

[2] https://twitter.com/marionawfal/status/1591803227003129858

[3] https://www.binance.com/en/proof-of-reserves

discuss

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flakeoil|3 years ago

"Unless you work at Binance and have access to all the financials, your guess is basically a coin flip wether they are solvent or not."

This is one of the reason why Binance should be regulated properly or closed down.

ceejayoz|3 years ago

> As an example, a few weeks ago crypto.com was said to be insolvent and there was a bank run [1] [2], however nothing collapsed.

Partly because they “oppose-daisied” $400M of their holdings with a misclick. Not confidence inspiring. https://www.bloomberg.com/news/articles/2022-11-13/crypto-co...

Not collapsing could mean solvency, but it could also just mean the run wasn’t big enough.