Changpeng Zhao, the CEO of Binance CZ, has denied rumors suggesting that the world’s largest cryptocurrency exchange, Binance, is selling Bitcoin (BTC) to control the price of Binance Coin (BNB).
In a tweet on June 14, Zhao stated, “Binance sells neither BTC nor BNB. We still have FTT bags too,” using the number “4” to symbolize “ignoring FUD, fake news, attacks, etc.”
The rumor started gaining traction after popular traders @JW100x and @52kskew tweeted on June 13, highlighting a short-term price correlation between selling BTC and buying BNB. The tweet garnered over 3 million views on Twitter, according to data from the platform.
According to @52kskew, Tether (USDT) reserves have been actively injected into BNB since May 27. BNB has allegedly been sold for Binance USD (BUSD) to mitigate BTC’s volatility. Furthermore, BUSD is said to be injected into BTC to reduce downside volatility, enabling the exchange of BTC for USDT.
@JW100x also tweeted about BNB being bought when Bitcoin experiences a sell-off, holding the price around $220, but potentially capping Bitcoin’s upward potential.
CoinGecko data indicates that, at the time of writing, the BNB price has risen by 6.6% within the past 24 hours, while Bitcoin has seen a nominal decline.
Despite the rumors circulating on social media, Binance’s CEO has categorically denied any involvement in selling BTC or manipulating the BNB price, urging users to disregard the false information.