Binance co-CEO Richard Teng stated that though Binance didn’t set off a crypto market clearing occasion on October 10, all exchanges, whether or not centralized or decentralized, skilled large-scale liquidations the day after China imposed uncommon earth metallic laws and the US introduced new tariffs.
Teng stated Thursday at CoinDesk's Consensus Hong Kong convention that about 75% of the liquidations befell round 9pm ET, however that two unrelated and remoted points additionally befell in parallel: stablecoin depegging and “some delays when it comes to asset transfers.”
“On that day, the worth of the U.S. inventory market plummeted by $1.5 trillion,” he stated. “There have been $150 billion in liquidations within the U.S. inventory market alone. The crypto market was a lot smaller, about $19 billion. And crypto liquidations occurred throughout all exchanges.”
He stated some customers have been affected by this and Binance helped to assist, however it was a step different exchanges didn’t take.
In response to him, Binance had 300 million customers and $34 trillion in buying and selling quantity final 12 months. Transaction knowledge doesn’t point out large-scale withdrawals from the platform.
“The info speaks for itself,” he stated.
Extra broadly, Teng stated that whereas the crypto market is monitoring broader geopolitical tensions, there’s nonetheless an inflow of institutional traders into the area.
“At a macro degree, I feel persons are nonetheless unsure concerning the future motion of rates of interest,” he stated. “And there are at all times developments like geopolitics and tensions that weigh on property like cryptocurrencies.”
Nevertheless, Teng stated long-term trade members would remember that crypto costs fluctuate cyclically, noting how the sector has modified over the previous 4 to 6 years.
“I feel what we’ve got to take a look at is the underlying improvement,” he stated. “Proper now, retail demand has calmed down considerably in comparison with final 12 months, however institutional and company adoption stays sturdy.”
He stated that regardless of the market, institutional traders have been nonetheless getting into the area, “which implies the good cash is rolling out.”
Learn extra: Cryptocurrency’s $19 billion “10/10” nightmare: Why everybody blames Binance for the endless Bitcoin crash
