Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Crypto Trader Argues Less BUSD Use is Bullish BNB, Zhao Agrees 

Published 2023-02-16, 04:32 a/m
© Reuters.  Crypto Trader Argues Less BUSD Use is Bullish BNB, Zhao Agrees 
BNBR3
-

Coin Edition -

  • Binance CEO agrees that the absence of BUSD would put BNB in a better position.
  • Crypto influencers argued BNB grew 6% despite the regulatory action against BUSD.
  • The US SEC argued BUSD issuer of selling an unregistered security.

A crypto trader with the username ReetikaTrades on Twitter theorized that the absence of the Binance stablecoin, BUSD, on the market would put the Binance coin BNB in a better position. The crypto trader expressed this sentiment while reacting to a view that suggested the price of BNB went up by 6% despite the recent regulatory action against BUSD.

“They don’t know less BUSD use [means] bullish BNB,” she argued — people would “need to buy and hold more BNB for fees discount” on the spot market.

Surprisingly, Changpeng Zhao, the CEO of Binance, supported the theory by responding with a big grin, adding, “Interesting take. Never even thought about this angle.”

The crypto influencer who started the conversation had contended that the BNB rise, in defiance of regulatory actions, represented a different dynamics from what was obtainable in the market a couple of months ago. In the past, the actions of digital asset regulators often sparked fear, uncertainty, and doubt, causing prices to crash.

However, according to data from the market tracking website, CoinMarketCap, BNB is up by over 8% in the last 24 hours. Bitcoin (BTC) even broke a new price point after gaining over 10% in the past day.

Early this week, the US Securities and Exchange Commission (SEC) sent a Wells Notice to Paxos Trust Co, the issuer of BUSD, informing it of an impending enforcement action for selling an unregistered security.

A Paxos spokesperson disagreed with the SEC and stated that the firm would prosecute the matter vigorously if forced.

The post Crypto Trader Argues Less BUSD Use is Bullish BNB, Zhao Agrees appeared first on Coin Edition.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.