Crypto Twitter responds to the deleted post by the CEO of Binance on Coinbase’s Bitcoin Holdings
The CEO of Coinbase, Brian Armstrong, explicitly referred to CZ’s comments as “FUD.”
In a tweet that has since been removed, CZ quoted a Yahoo Finance report claiming that “Coinbase Custody holds 635,000 BTC for Grayscale.” CZ commented, “4 months ago, Coinbase (I suppose exchange) had less than 600K,” with a link to an article from Bitcoinist published 4 months ago. The CEO of Binance made it clear that he was only citing “news reports” and not making his own statements. His tweet was not warmly welcomed by the crypto community.
Shortly afterwards, Coinbase CEO Brian Armstrong reacted indirectly to CZ in a series of tweets, stating, “If you see FUD out there – remember, our financials are public (we’re a public company)” and providing a link to Coinbase’s Q3 shareholder letter. He emphasized that his organization possesses “2 million BTC. $39.9 billion as of September 30 (see our 10Q)”
CZ edited his post soon afterwards, explaining, “Brian Armstrong just informed me that the figures in the stories are incorrect. I have deleted the prior tweet. Let’s collaborate to increase industry openness.”
Given recent market developments and Binance’s alleged participation in provoking them, some have accused CZ of slander. FTX’s liquidation crisis, which contributed to an overall slide in the market over the previous two weeks, is thought by many to have been precipitated by the Binance CEO’s remarks, which created panic and a bank run on FTX.
Will Clemente, co-founder of digital asset analysis company Reflexivity Research, said on Twitter, “That post CZ just removed about Coinbase’s Bitcoin holdings was not a good look. I understand that he is attempting to safeguard the business, but CZ is more than intelligent enough to see that exchange wallets and custodial wallets are different.”