Breaking: Binance CEO “CZ” Breaks Silence On US SEC’s Crackdown On BUSD – Crypto News – Crypto News
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Breaking: Binance CEO “CZ” Breaks Silence On US SEC’s Crackdown On BUSD – Crypto News

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2 years ago

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The US Securities and Exchange Commission’s (SEC) latest probe against Paxos, the issuer of Binance USD (BUSD), has left the crypto industry triggered. However, Changpeng Zhao (CZ), CEO of Binance came forward to clear the air over the probe.

Taking to Twitter, CZ stated that highlighted that BUSD is issued and redeemed by Paxos, while, the funds are safe. He stated that the BUSD issuer has been directed to cease minting new Binance USD by the New York Department of Financial Services (NYDFS).

Binance CEO mentioned that BUSD is a stablecoin that is fully owned and managed by Paxos. The probe will result in a decline over time. However, the Paxos will continue to service the product and manage further redemptions.

As per the conversation between CZ and Paxos, the funds are safe and fully covered by reserves in their banks. The reserves have been audited many times by various audit firms already.

(THIS IS A DEVELOPING STORY)

The post Breaking: Binance CEO “CZ” Breaks Silence On US SEC’s Crackdown On BUSD appeared first on CoinGape,

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