Binance CEO CZ Reveals Exchange Still Holds Terra Classic (LUNC)

Binance CEO CZ Reveals Exchange Still Holds Terra Classic (LUNC)
  • CZ clarified that the $585M transaction of FTT tokens was initiated by the exchange.
  • In April, Binance’s LUNC holdings were valued at almost $1.6 billion.

Changpeng Zhao (CZ), CEO of Binance, said yesterday in a tweet that the exchange is still holding Terra Luna Classic (LUNC) in its inventory. He mentioned this while suggesting that the firm was uninterested in Alameda Research’s offer. To swap its FTT holdings over the counter at a premium price.

The motivations for CZ’s voluntary disclosure remain unclear. At the time of the Terra ecosystem collapse. Binance possessed 15.4 million LUNC it had acquired from an early $3 million investment in Terra. Remarkably, in April, Binance’s LUNC holdings were valued at almost $1.6 billion. Its value has moved to almost $3,388 as of today.

Ongoing Crisis

Notably, Binance’s CEO mentioned LUNA in a tweet on Sunday. Outlining the reasons for the exchange’s decision to sell its FTT holdings. Surprisingly, a CoinDesk article published last Wednesday alerted the public to the troubled financial situation at Alameda Research, and then, on Friday, an analysis published by Dirty Bubble Media claimed that FTX was using the same tactics that had doomed Celsius.

Note that when doubts were raised over a transaction on Saturday that sent $583 million worth of FTT to Binance, CZ clarified that the transaction was initiated by the exchange. Binance’s CEO explained the sell-off of FTT tokens on Sunday, saying it was in response to recent updates.

Sam Bankman-Fried, SBF, CEO of FTX, has come out to reassure customers that the exchange and its assets are safe, but many are still hesitant to use it following the failure of numerous other exchanges this year. Several of which FTX has ironically attempted to save or acquire.

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