Coinbase Promotes Self-custody App as Its Binance Rivalry Faces FUD

Recently, the crypto community has been awash with FUD and panic messages, especially against Binance, the largest crypto exchange by market cap. Coinbase, a close competitor, has promptly seized the opportunity to promote its self-custody solution to the community.

An official statement from Coinbase read,

“Whenever turbulence hits the crypto industry, it is important for individuals to consider where and how they store their assets and the role of self-custody wallets like Coinbase Wallet.”

The Coinbase self-custody wallet is compatible with the recently launched iPod-sized Ledger Stax hardware wallet. Brian Armstrong, the CEO of Coinbase, added:

Self-custody is a very important part of the cryptoeconomy – decentralize https://t.co/3tdcBeNbqd

— Brian Armstrong (@brian_armstrong) December 14, 2022

In the last 48 hours, the phrase “Binance FUD” trended on Twitter, affecting the price of the Binance Coin (BNB). Analyst claim it started after the UK media, Reuters, published an article claiming US prosecutors are looking to charge Binance and its executives with possible money laundering violations.

Bad actors also created fear, uncertainty, and doubt messages about the fact that Binance suspended USDC withdrawals. However, the CEO of Binance, Changpeng Zhao, clarified that the suspension was because the centralized channel to swap from BUSD to USDC was closed for a few hours.

Multiple reports claimed that customer withdrawals on Binance exceeded $3 billion in the last 24 hours. Even with this, Zhao boasted that the massive cashout was not among the five highest withdrawals it has ever experienced.

Things seem to have stabilized. Yesterday was not the highest withdrawals we processed, not even top 5. We processed more during LUNA or FTX crashes. Now deposits are coming back in. ?‍♂️? https://t.co/WLK2KyCym0

— CZ ? Binance (@cz_binance) December 14, 2022

The Binance CEO also tweeted that the FUD brought a stress test upon the exchange, but it represented an avenue to show its credibility to the crypto community.

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