In a reply to the question about how Binance, which holds largest amount of Tether along other exchanges, will be impacted in case there is downfall in the coin, Zhao said it will be worrying. Other coins also face the same threat like Tether, he added. He was having a conversation with crypto trader Ran NeuNer on CNBC.
The Binance CEO was quoted by AMBCrypto saying,
We have seen fiat currencies go down in history a lot. Probably more times than they have been in cryptocurrencies. So, yes the concern is always there and that’s also why we’re listing other stable coins as well, so we actively promote other stable coins including the TUSD, …and others.
To the question whether Zhao himself is concerned over the coins, he reportedly said there was a meeting between Bitfinex team and Tether, which is a matter of concern. It is to be mentioned that Bitfiniex and Tether had landed in multiple controversies over the alleged manipulation of Bitcoin price last year. As per John M Griffin and Amin Shams, researchers at University of Texus, claimed prices of Bitcoin were artificially hiked when it touched its all-time high of $20,000 in December last year.
Continuing his expressions on Tether, Zhao further said,
I haven’t personally seen their bank accounts but, from a logical point of view… They have so many profits from their regular exchange business; they don’t need to do anything crazy about the Tethering. I think the reason they cannot release their bank account details is because if they release whichever bank they’re using, then the bank account gets shut down.
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A social media geek, Chandrakana Ray loves to track every buzz around the ever volatile cryptocurrency market, swinging moods of the crypto titans and unearths more about blockchain technology to make it a pleasant read for crypto enthusiasts. As a Business Correspondent with Blockchain Focus, her writings zero in on every development of cryptocoins with an aim to give the most of it. A gourmet, she delves into myriad culinary to satiate her gastronomic urge.