CZ alleges FTX paid $43M to news organization to publish Binance FUD CZ alleges FTX paid $43M to news organization to publish Binance FUD
FTX funded FUD against Binance and the impact of AI in crypto were discussed during a recent Twitter AMA with the Binance CEO.
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Updated: Aug. 6, 2023 at 5:36 pm UTC
Web Summit / CC BY 2.0 / Flickr. Remixed by CryptoSlate
Binance CEO Changpeng (CZ) Zhao alleged during a Twitter space talk that FTX paid $43 million to a crypto news outlet that regularly publishes negative articles on Binance,
CZ claimed that traders with short positions look to “generate negative news” to better their trades. Therefore, he is “fine” with crypto skeptics such as Peter Schiff criticizing the industry as “they don’t get it, they don’t understand it.”
However, he admitted to paying attention to the negative press allegedly funded by FTX. CZ said:
“I don’t think it’s going to stop, but I don’t think it’s going to bother us that much going forward.”
The Binance CEO praised the ability of people to “come to their own judgments,” stating that “people are pretty smart today… most people are no longer fooled by clickbait titles.”
In response to another audience question on AI, CZ asserted that Binance is using the technology in many parts of its business. For example, roughly 75% of Binance’s customer support is handled via AI, along with risk management, transaction monitoring, fraud detection, and market manipulation detection.
CZ also believes there will be further implementation of AI technology within the blockchain space in relation to analyzing data and detecting critical changes to risk.
“With machine learning becoming more and more mature and more stronger, there will be more and more applications.”
Risk management was a critical factor in the failure of many crypto exchanges and lending services throughout 2022. Therefore, the ability of AI to mitigate the difficulties of managing risk within a complex on-chain environment could be crucially important to blockchain projects in the future.
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Liam 'Akiba' Wright
Also known as "Akiba," Liam Wright is a reporter, podcast producer, and Editor-in-Chief at CryptoSlate. He believes that decentralized technology has the potential to make widespread positive change.
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BNB, or Binance Coin, is a cryptocurrency created by Binance.
Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
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.