• February 28, 2024

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Forbes Says Binance Practices Are Similar to FTX’s

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According to a report from Forbes, Binance is engaging in practices similar to those employed by FTX, a smaller rival exchange. The report claims that Binance is using tactics such as offering low listing fees to attract new listings and manipulating trading volumes to make certain tokens appear more attractive to investors.

The report also alleges that Binance is using wash trading and other tactics to artificially inflate trading volumes. Wash trading is a practice of buying and selling the same cryptocurrency to create the illusion of increased activity, which can make a token appear more attractive to potential investors.

Binance has denied the allegations and has stated that it operates in accordance with all applicable laws and regulations. The exchange has also pointed to its own rigorous listing process, which it says is designed to ensure that only tokens with real fundamentals and legitimate projects are listed on its platform.

At the same time, the report has sparked an increased level of scrutiny on Binance, with calls for the exchange to increase transparency and take steps to ensure that its practices are in line with industry standards.