Changpeng Zhao Says 'Fudders FUD' And Binance 'Buys' As Crypto Exchange Grapples With Insolvency Buzz Online

Core Viewpoint - The article discusses allegations against Binance and its founder Changpeng Zhao regarding attempts to silence independent analysts who have raised concerns about the company's financial stability and its role in a significant liquidation event in the cryptocurrency market. Group 1: Allegations and Legal Threats - Independent analysts claim that Binance is threatening legal action against users who speak out about the company's alleged insolvency and its involvement in the October 10 liquidation event, referred to as the "10/10" event [1][2][4]. - A user named Lewsiphur reported receiving a cease-and-desist notice from Binance after making accusations about the exchange's financial health [4]. - Binance has denied these allegations, stating that it has not issued any legal threats against individuals making claims about its insolvency [5]. Group 2: Market Reactions and Data Analysis - Blockchain analytics firm CryptoQuant reported that Binance shows "no signs of stress," with reserves holding approximately 659,000 BTC and normal netflows, contrasting with the panic withdrawals seen after the FTX collapse [6]. - Binance experienced a net inflow of $586.50 million on February 4 and $1.30 billion over the preceding week, indicating continued investor confidence despite the surrounding controversy [8]. - The company attributed the October flash crash to macroeconomic pressures, excessive leverage, and Ethereum network congestion, while critics suggest a malfunction in Binance's trading infrastructure may have contributed [8].