Binance co-founder and former CEO Changpeng Zhao (CZ) has denied recent rumors suggesting that the world’s largest cryptocurrency exchange is up for sale. The speculation, which gained traction after major asset movements within Binance’s treasury, was quickly dismissed by CZ and other top Binance executives.
CZ Responds to Sale Rumors
In a February 17 post on X, CZ addressed the speculation directly, attributing it to a competitor attempting to spread fear, uncertainty, and doubt (FUD).
“Some lowly self-perceived competitor in Asia fudding about Binance (CEX) for sale,” CZ wrote. “As a shareholder, Binance is not for sale.”
Co-founder Yi He echoed Zhao’s sentiments, suggesting that the rumors stemmed from a public relations strategy employed by a rival exchange. She also hinted that Binance is more interested in acquisitions than selling, stating that any exchanges considering a sale should reach out.
Asset Movements Fuel Speculation
The rumors gained traction after a noticeable shift in Binance’s asset holdings was flagged by X user AB Kuai.Dong on February 11. The user pointed out a significant reduction in Binance’s Bitcoin reserves and other digital assets, sparking concerns about the company’s financial position.
Binance, however, has denied any connection between the asset movements and a potential sale. Instead, the exchange attributed the shifts to internal adjustments in its treasury accounting processes.
Binance Under Ongoing Regulatory Scrutiny
As the largest cryptocurrency exchange by trading volume, Binance remains a focal point for regulatory oversight and legal scrutiny. CZ himself recently completed a four-month prison sentence after pleading guilty to violating U.S. Anti-Money Laundering laws, stepping down from his CEO role as part of the settlement. Since his departure, Richard Teng has taken over as CEO, focusing on strengthening Binance’s regulatory compliance and global legal standing.
One of Binance’s latest legal challenges is unfolding in France, where authorities are reportedly investigating the exchange over allegations of money laundering and tax fraud. The Paris Public Prosecutor’s Office is probing Binance’s operations between 2019 and 2024, looking into potential links to illicit financial activities, including drug trafficking. Binance has denied all allegations.
A Legal Breather in the U.S.?
Despite ongoing regulatory scrutiny in Europe, Binance’s legal position in the United States may be improving. On February 10, the U.S. Securities and Exchange Commission (SEC) and Binance jointly filed a motion to pause their legal case for 60 days. The motion was granted, signaling a possible shift in regulatory pressure.
At the end of the stay, both Binance and the SEC will submit a joint report assessing whether an extension is needed or if legal proceedings should resume. The pause provides Binance with a crucial window to negotiate and potentially resolve some of its outstanding legal matters.
What’s Next for Binance?
While Binance has firmly denied any plans to sell, the ongoing legal challenges and market speculation highlight the continued uncertainty surrounding the exchange’s future. As regulatory scrutiny intensifies, Binance’s ability to navigate these legal battles while maintaining market dominance will be closely watched.
For now, the exchange remains a powerful force in the crypto space, with its leadership reaffirming its commitment to regulatory compliance and financial stability. Whether Binance will continue to expand its influence or face further setbacks remains to be seen, but one thing is certain rumors of its demise have been greatly exaggerated.
