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Binance’s CEO Made A Serious Bitcoin And Crypto Warning




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Bitcoin has been recovering a lot so far this year, driven by both The largest technology companies in the world that are interested in bitcoins and cryptocurrencies. Y the vague assumption that bitcoin's institutional demand has come and is surpassing retail demand.

The price of bitcoin has risen more than 200% so far this year., rising from around $ 3,500 per bitcoin earlier this year to highs of almost $ 14,000 as bitcoin fever and cryptocurrency returns after sweeping the world at the end of 2017.

However, the CEO of Binance, the world's largest exchange of bitcoins and cryptocurrencies by volume, warned & nbsp; that bitcoin's institutional demand may not be driving & nbsp; the last rally as much as some had thought-and the already extreme volatility It could be about to get even worse. & nbsp;

Changpeng "CZ" Zhao is the executive director of Binance, based in Malta, and is highly respected in the bitcoin and crypto community.

&copy; 2018 Bloomberg Finance LP

"We have not seen institutions grow faster," said Binance CEO Changpeng Zhao, often referred to simply as CZ. Bloomberg, a financial news. "What we have seen is a collection in both places, the number of institutions entering this industry has not increased much in 2019 yet."

According to CZ, retail investors still represent around 60% of Binance's trading volume, roughly the same percentage as last year, although both have increased.

Margin trading, where & nbsp;merchants can borrow against their deposits & nbsp; in an exchange, they can also have an effect on the price of bitcoin since investors have a lot of funds to speculate with. Earlier this month, Binance, based in Malta, allowed merchants to obtain loans up to three times their deposit, while the bitcoin exchange Bitfinex rival is allowing loans 100 times deposits. & Nbsp;

"I would say that most people by the end of the year will use the margin somehow," CZ, who has been compared to the founder of Facebook, Mark Zuckerberg, he told Bloomberg. "It's pretty safe to use, to be honest, there will be more trading volume and potentially higher volatility."

The Bitcoin 2017 epic upward race, which saw the bitcoin price increase from less than $ 1,000 per bitcoin to almost $ 20,000 in less than 12 months, is believed to have been driven by retail investors, and it is believed that this latest rally is something more mature.

The price of bitcoin has been rising so far this year as bitcoin fever and cryptocurrency rampage the world again.

Coindesk

Those who have marked the bull this year are different from 2017. have pointed& nbsp; bitcoin and crypto & nbsp;Interest of the size of the giant of social networks Facebook.& nbsp; and & nbsp;iPhone iPhone Appleand the institutional adoption of the Bakkt cryptocurrency platform, backed by the owner of the New York Stock Exchange, and Fidelity Investments, one of the largest asset managers in the world.

Others have suggested that the next bitcoin is fast approaching., where the amount of bitcoin tokens awarded to miners will be reduced by half, could cause a & nbsp;"supply shock" in the market.

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So far this year, Bitcoin has been moving a lot, driven by the two largest technology companies in the world that are interested in bitcoins and cryptocurrencies, and by the vague assumption that the institutional demand for bitcoins has arrived and It is surpassing retail demand.

The price of bitcoin has risen more than 200% so far this year, rising from around $ 3,500 per bitcoin at the beginning of the year to almost $ 14,000 highs when bitcoin fever and cryptocurrency returns after sweeping the world at the end of 2017.

However, the CEO of Binance, the world's largest exchange of bitcoins and cryptocurrencies by volume, warned that bitcoin's institutional demand may not be driving the last rally as many as some thought.-And already extreme volatility could be about to get worse.

Changpeng "CZ" Zhao is the executive director of Binance, based in Malta, and is highly respected in the bitcoin and crypto community.

© 2018 Bloomberg Finance LP

"We have not seen institutions grow faster," he told Bloomberg, a Binance chief financial officer, Changpeng Zhao, who is often referred to simply as CZ, he said. "What we have seen is a recovery in both places, the number of institutions that enter this industry has not increased much in 2019 yet."

According to CZ, retail investors still account for around 60% of Binance's trading volume, roughly the same percentage as last year, although both have increased.

Margin of commerce, where Merchants can borrow against their deposits in an exchange, they can also have an effect on the bitcoin price, since investors have a lot of funds with which to speculate. Earlier this month, Binance, based in Malta, allowed merchants to apply for loans up to three times their deposit, while Bitcoin's rival bitcoin exchange is allowing loans of 100 times deposits.

"I would say that most people by the end of the year will use the margin somehow," he told Bloomberg CZ, who has been compared to Facebook founder Mark Zuckerberg. "It's quite safe to use, to be honest, there will be a higher volume of operations and a potentially higher volatility."

The Bitcoin 2017 epic upward race, which saw the bitcoin price increase from less than $ 1,000 per bitcoin to almost $ 20,000 in less than 12 months, is believed to have been driven by retail investors, and it is believed that this latest rally is something more mature.

The price of bitcoin has been rising so far this year as bitcoin fever and cryptocurrency rampage the world again.

Coindesk

Those who have rated the bullish race this year as different from 2017 have pointed bitcoin and crypto Interest of the size of the giant of social networks Facebook. Y iPhone iPhone Appleand the institutional adoption of the Bakkt cryptocurrency platform, backed by the owner of the New York Stock Exchange, and Fidelity Investments, one of the largest asset managers in the world.

Others have suggested that the next bitcoin is fast approaching., where the number of bitcoin tokens awarded to miners will be reduced by half, could cause a "Shock of supply" in the market..


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