Binance CEO orders investigation following FatManTerra’s allegations Binance CEO orders investigation following FatManTerra’s allegations
FatManTerra has been shining a light on some dark areas of the Terra ecosystem, which has prompted Binance to launch an investigation into some of the allegations.
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Updated: Jun. 3, 2022 at 5:40 pm UTC
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Taylor Locke, a reporter for Fortune magazine, has confirmed that Binance is looking into allegations levied against Terra LUNA by FatManTerra on Twitter.
In response to allegations from FatManTerra regarding Do Kwon being complicit in defrauding the community and being behind Basis Cash, Binance CEO Changpeng ‘CZ’ Zhao reportedly said:
“I said, ‘…If we can draw any conclusions, we should share that with law enforcement.’ To date, we cannot confirm or deny any of the allegations.”
CZ claims neither he nor his team had any knowledge that Do Kwon was behind the failed stablecoin project Basis Cash, as reported by FatManTerra.
CZ also made a point to distance himself from any interaction with Do Kwon, stating:
“For the record, I have never spoken to Do Kwon directly. Not in 2018 when Binance invested in TFL, and not recently.”
Do Kwon tried to speak with CZ directly a few times, according to the Binance CEO, who clarified:
“I didn’t want to start a separate channel where I have to personally manage him [Do Kwon].”
FatManTerra commented on the story coming out in support of CZ saying:
“CZ himself can’t be held culpable for any of this – he’s a busy man. The onus falls on his negligent marketing & listing teams. Sadly, someone will have to foot the bill, but Binance will ultimately be better for it. He seems like a good man.”
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Liam 'Akiba' Wright
Also known as "Akiba," Liam is a reporter, editor and podcast producer at CryptoSlate. He believes that decentralized technology has the potential to make widespread positive change.
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Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
Terraform Labs
Terraform Labs is a startup that created Terra, a blockchain protocol and payment platform used for algorithmic stablecoins.
Do Kwon began his professional journey as an engineer, contributing to tech giants Apple and Microsoft.
Changpeng Zhao, popularly known as “CZ,” is a notable figure in the cryptocurrency world, primarily for founding and leading Binance, the world’s leading cryptocurrency exchange by trading volume.