He Yi, co-founder and chief marketing officer of Binance, on Tuesday said the crypto exchange has strict internal control over crypto trading by employees. After buying cryptocurrencies, employees must hold them for more than 90 days before they decide to sell their holdings. The statement comes in response to the recent misappropriation of customer funds by FTX and Alameda Research.
Binance Has Strict Internal Controls
During the Hong Kong Web3 Innovators Summit on January 10, Binance’s co-founder He Yi revealed that they didn’t know about the misappropriation of customer funds by FTX. Binance’s decision to sell FTT tokens was taken as FTX was spending too much money. However, the seriousness of the problem became clear as things unfolded.
Answering the question of whether internal fund transfers can happen on Binance, she explained that the crypto exchange has a strict internal control policy.
Regardless of level, no employee is allowed to conduct personal short-term cryptocurrency transactions. After buying a cryptocurrency, employees must hold the position for more than 90 days before trading. Therefore, it helps prevents the possibility of market manipulation and insider trading by its employees.
Furthermore, He Yi revealed that Binance is moving ahead with the Industry Recovery Initiative (IRI). The crypto exchange has shortlisted some projects eligible for funding. Moreover, Binance plans to use funds for two large transactions, targeting two trading platforms.
Recently, the crypto exchange welcomed Terra Classic developers to apply for the Industry Recovery Initiative (IRI). Developers wanting to continue to build the Terra Classic chain may receive support from Binance as part of the initiative. Many LUNC developers are planning to apply for Binance’s initiative, confirmed influencers Classy Crypto and DemonMonke777.
Crypto Market Remains Stuck
After a crypto market recovery on Monday, Bitcoin and Ethereum prices remain stable above $17,000 and $1,300, respectively. However, altcoins pared gains and fell on Tuesday ahead of Fed Chair Jerome Powell.
While traders await a massive recovery in 2023, FTX contagion to DCG and Genesis is key to look out for in the coming weeks. Moreover, a pivot by the U.S. Federal Reserve can confirm bull market conditions.
Also Read: Coinbase CEO Brian Armstrong Announces 20% Additional Layoff
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