Binance
Binance is under fire for allegedly manipulating crypto prices. Unsplash

KEY POINTS

  • A well-followed crypto analyst said Binance "wiped out all altcoins for the past three years"
  • Another prominent crypto user said all the altcoins launched by Binance were now down "-95%"
  • Binance Founder CZ has also been questioned on why the platform lists projects that use coin holders as "exit liquidity"

Binance has been trending all weekend on X amid accusations that the leading cryptocurrency exchange engaged in price "manipulation" over the last few years.

The exchange, founded by Changpeng "CZ" Zhao, has long been plagued by concerns around security, with several cryptocurrency users questioning the platform for listing crypto coins that supposedly don't have anything good to offer to the community.

Prominent crypto figures call out Binance for manipulation

Amonyx, a well-followed crypto analyst, on Sunday expressed his frustration over Binance's alleged engagement in manipulative tactics.

"You've wiped out all altcoins for the past three years. Enough is enough, truly enough. I'm protesting, I'm in full rebellion!" he wrote on X.

Some of his followers have since agreed with his post, with one user saying "every crypto" asset he purchased with BNB "got rugged."

Another user said she "missed out on a lot of gains in 2020" as she was "forced to liquidate my crypto from Binance."

Butcher, another prominent figure in the crypto space with over 188,000 followers, said "crime season" has started since "all altcoins launched by #Binance are -95% down."

Rahul, the founder of the Emperium non-fungible token (NFT), agreed with Butcher, saying Binance and all other centralized exchanges were "manipulating the prices to its ultimate lows" through "market makers."

He added that the price manipulation in crypto has caused panic and triggered "mass level liquidations" that ultimately led to price plunges. Once crypto prices drop significantly, Binance and other centralized exchanges supposedly "buy those same coins at ultra cheap level making most of the holders either liquidated or exit."

Zhao talks "ethics" amid increasing frustration

Hours after posts around Binance's alleged price manipulation emerged, Zhao, who served four months in prison last year over his failure to ensure Binance had the appropriate customer protections, posted what he said was an "unpopular opinion."

"In crypto, too much money is spent chasing small, quick gains. Focus on ethical teams that build for the long term. Big money is built slowly with stamina," he wrote.

Big-name crypto commenters have since taken to the comments section to remind CZ that "it's up to leading CEXs like Binance to discern the subprime projects vs. ones with substance and a history of accomplishment."

Another pointed out that it would be great to see Binance rewarding worthy teams with listings "instead of all these useless memes."

The Wolf of Main Street said Zhao should also "criticize" the platform he founded for listing "random" projects that allegedly use retail investors "as exit liquidity," thus enabling such projects to be rooted in the industry.

Zhao and Binance have yet to respond to allegations around price manipulation and listing non-utility coins.

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