Binance CEO Speculates Coordinated Efforts to Destabilize Crypto

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The cryptocurrency market has gone through a whirlwind of challenges in 2022 and it looks like there will be no respite for this year either. Following successive regulatory hurdles and the subsequent failure of notable companies, crypto has found itself in an odd position that almost feels like an orchestrated effort to avoid it.

Binance CEO worries about crypto

A similar opinion was also expressed by Binance CEO Changpeng “CZ” Zhao. In a recent tweet, he speculated that – given everything going on in the crypto space – it seemed like a coordinated attack was underway to “shut down crypto-enabled banks”, which , in the long run, would be detrimental to the industry as a whole.

Read more: Will MakerDAO’s new plan prevent DAI from becoming another UST?

However, he points out that while these attempts have had some impact on crypto, traditional financial institutions are currently failing, while blockchains remain operational due to their decentralized nature, which prevents any central authority from taking command. As can be seen in Bitcoin’s price, the flagship cryptocurrency was able to maintain its coveted $20,000 level even after the deluge of regulatory hurdles, negative press reports, and media coverage.

In recent times, prominent US authorities, including the Federal Reserve, OCC, FDIC, SEC, NYAG, NYDFS and DOJ, as well as influential members of Congress, seem determined to destabilize the growing industry. of crypto, which challenges the traditional market for some. it’s time. In what is said to be an “Operation Choke Point,” the United States is making it increasingly difficult for crypto businesses to operate and sustain.

Does crypto pose a threat?

Cryptocurrency has recently established itself as a viable alternative to a number of conventional financial products and services available in the country. For example, compared to the meager 0.1% interest rates on savings accounts offered by US banks, the cryptocurrency staking feature allows users to earn rewards of up to 25% per year in some scenarios. As a result, the SEC recently penalized Kraken, a California-based crypto exchange, and even forced the company to suspend its staking operations for US clients.

It is still important to point out that at this time there is no real evidence of a government conspiracy to leverage political authority in order to shut crypto off the US banking rails. However, the consecutive crypto crackdowns and the development of certain scenarios have certainly raised doubts in everyone’s mind as it is hard to pass it off as mere coincidence.

Also Read: Bitcoin Price Undisturbed by USDC Stablecoin Crisis, Signals in Next Bull Run

Pratik has been a crypto evangelist since 2016 and has covered almost everything crypto has to offer. Whether it’s the ICO boom, the bear markets of 2018, the Bitcoin halving so far – he’s seen it all.

The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.

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