Binance has acknowledged that there have been such problems in the past, while denying that its native stablecoin Binance USD (BUSD) is currently experiencing collateralization problems.
Bloomberg reported Jan. 11 that Jonathan Reiter, co-founder of blockchain analytics firm ChainArgos to the data prepared According to Binance’s BUSD Insufficient between 2020 and 2021 and suggested that this situation may continue.
After Binance news, BUSD is already is under-guaranteed Upon the spread of the FUD wave, he both sent an e-mail to Bloomberg and made some statements on the subject on his official blog page.
Binance BUSD is understaffed at times in 2020 and 2021 having a collateral problem while accepting operational your flaws stated that it never reflected negatively on customer activities.
In addition, a Binance spokesperson explained details about the latest situation they are in both in the past years and currently, and stated that they have identified past problems and that the situation have been brought under control expressed in these words:
After detecting this ourselves last year, we are now rebalancing more frequently to ensure that Binance-Peg BUSD is fully supported in a transparent manner. Recently, the process has been made much better with improved discrepancy checks to ensure BUSD is pegged 1-1.
At this point, BUSD is completely dollar and with cash equivalent reserves Stating that it is supported by the Binance team, this data will also be added in the coming period. proof Ugh Reserve (PoR) stressed that it will be included in the system.