Within the past 24 hours, withdrawals from Binance have surpassed $1 billion, excluding bitcoin, revealed market data. Concurrently, the exchange experienced a 25% reduction in liquidity, indicating a retreat of market participants, according to data provider Kaiko.
Binance's native token BNB exhibited a more than 9% decline, as indicated by CoinGecko data. Analysis from blockchain firm Nansen estimates Binance's holdings of BNB tokens at around $2.8 billion.
Despite the substantial outflows, the platform still retains assets totaling over $65 billion, suggesting that a widespread removal of funds from the exchange has not yet occurred. Experts suggest that Binance possesses adequate capitalization to endure a sudden withdrawal by investors.
Grzegorz Drozdz, a market analyst at Conotoxia Ltd., noted, that following the initial shock of the announcement, most assets have not been significantly impacted. Nearly 98 out of the top 100 cryptocurrencies have shown a notable rebound in the past 24 hours. Bitcoin, after a 4% dip, recovered, currently showing a 1.3% loss.
Earlier this week, Zhao agreed to step down from his position as CEO of Binance and acknowledged breaches of anti-money laundering regulations in a negotiated agreement with the US Department of Justice.
Reported terms of the settlement outline Binance's expected forfeiture of $2.5 billion to the US government and a fine of $1.8 billion, culminating in a total of $4.3 billion.