Changpeng Zhao Issues Internal Warning to Binance Staff About Crypto Winter: Report

Binance CEO Changpeng “CZ” Zhao is reportedly telling his colleagues that the bear market will get worse, but the world’s biggest digital asset exchange will weather the crypto winter.

According to a new report from Bloomberg, Zhao issued an internal memo telling employees to brace for tougher months ahead as the industry goes through a historic moment.

Despite the bleak outlook, the executive assures that the firm will overcome the current challenges.

“While we expect the next several months to be bumpy, we will get past this challenging period – and we’ll be stronger for having been through it.”

Zhao also writes that Binance is facing increased scrutiny and tough questions following the collapse of rival digital asset exchange FTX.

Binance is among the exchanges hit by massive withdrawals as crypto investors pull out funds from centralized platforms to take control of their tokens. This comes after FTX became insolvent and its former CEO, Sam Bankman-Fried, faces allegations of funneling customer funds to trading firm Alameda Research.

Zhao revealed in a tweet on Tuesday that Binance is experiencing large outflows.

“We saw some withdrawals today (net $1.14 billion ish). We have seen this before. Some days we have net withdrawals; some days we have net deposits. Business as usual for us. I actually think it is a good idea to ‘stress test withdrawals’ on each [centralized exchange] on a rotating basis.”

Still, he vouches for the strong financial position of the exchange and writes in the memo that the firm will survive.

“Rest assured, this organization was built to last.”

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Source: https://dailyhodl.com/2022/12/15/changpeng-zhao-issues-internal-warning-to-binance-staff-about-crypto-winter-report/