Did Binance KYC Filter Out Majority Of Users? CZ Clarifies With Facts
Binance KYC process was performed with a total cost of $1 billion as part of compliance efforts, the company CEO said. The crypto exchange has actually grown in the recent times, CZ said, refuting claims of loss of user base. He responded to claims that a bulk of Binance’s customers were filtered out in the KYC process. The Binance CEO also said that deposits on the platform had increased in the recent months.
Binance KYC Was Done With A High Success Rate, CZ Says
Reacting to claims that the crypto exchange lost 90% of its customers thanks to KYC implementation, CZ said the exchange’s market share did not drop. He said blockchain data proves that Binance’s market share had increased. In fact, the exchange is the leader among exchanges in terms of market share, he added. The crypto deposits have increased steadily over the past months or years, he explained. It was however revealed that the KYC implementation process costed the company $1 billion in revenue.
“Binance spent more than $1 billion on compliance efforts, with a high pass rate. It’s fine. Binance’s market share increased, not decreased. The blockchain and third party data shows it.”
High Crypto Transactions In BTC And ETH In Recent Times
CZ also shared Glassnode reports showing Bitcoin deposits leaving crypto exchanges. However, the figures he shared from last month show that Binance is still the largest holder of Bitcoin balances among exchanges. Not only Bitcoin, but Ethereum (ETH) activity too took a jump on Binance recently. The number of ETH transactions on the platform took a huge spike last week thanks to the low gas fee.
There was high Ethereum utilization on Binance as ETH gas fee dropped to historic lows. It is believed that the low gas fee could be a result of the upcoming Merge on Ethereum.
- Experts Turn Bullish on Pudgy Penguins as PENGU Leads Meme Coin Buys on Solana
- ASTER to Launch Phase 2 Airdrop on October 10 as Open Interest Tops $5B in Two Weeks
- El Salvador’s Bitcoin Holdings Hit $475M Profit as BTC Becomes World’s 7th Largest Asset
- Breaking: Bitcoin Hits New ATH Above $125k as ‘Uptober’ Kicks Off in Full Force
- 99.3% of Bitcoin Supply in Profit, Analyst Warns of Short-Term Correction
- Dogecoin Price Rebounds 15% From Buy Zone as Whales Add 30M DOGE – Can Bulls Push Beyond $0.30?
- FLOKI Price Prediction as ETP Listing Drives Adoption—Is a 160% Rally Ahead?
- BNB Coin Price Hits ATH as Derivatives Activity Soars—Is $1,520 the Next Stop?
- Aster Price Eyes $3 After Channel Breakout as Open Interest Surges to $1.37B
- Will XRP Price Hit $5 if the SEC Approves ETFs This Month?
- Bitcoin Price Hits $120K Ahead of Q4 — Can Citigroup’s Forecast Hold Up?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
