Amid speculation and rumors surrounding Binance, the BNB token takes a sharp dive

On December 12, 2022, Reuters reported that U.S. Justice Department prosecutors have been investigating Binance, according to four people familiar with the matter. Additionally, while a number of crypto-assets have risen in value in the past week, the Binance exchange token has slid about 6.9% against the U.S. dollar over the past seven days.

Binance exchange token BNB Speculation around the world’s largest crypto-currency exchange has dealt a blow to the BNB.

This week, Binance is facing a lot of rumors, speculation, and FUD (fear, uncertainty, and doubt) following the recent FTX collapse. On social media, there has been speculation regarding Binance’s proof of reserves (POR) and criticism of the company’s POR efforts.

In a Dec. 13 Twitter post, Binance CEO Changpeng Zhao (CZ) retweeted a 2019 post that said it seeks and provides positive energy. “I block negativity/boredom, I am myself, a normal guy, nothing fancy, [et] I interact with our support community “, CZ wrote on Twitter on March 16, 2019.

FUD helps us grow, even though they are thoroughly annoying.

You can FUD about someone without explicitly mentioning their name, which spreads awareness.

It also helps unite their supporters because it forms a common defense alliance.

Short thread. 1/4 https://t.co/PlxhqV5cZS

– CZ 🔶 Binance (@cz_binance) December 13, 2022

On December 13, Changpeng Zhao, commonly known as CZ, addressed to FUD on Twitter. “FUD helps us grow, even if it’s completely boring“, tweeted CZ. “You can do FUD on someone without explicitly mentioning their name, which raises awareness. It also unites their supporters because it forms a common defense alliance.“

FUD helps us grow, even though they are thoroughly annoying.

You can FUD about someone without explicitly mentioning their name, which spreads awareness.

It also helps unite their supporters because it forms a common defense alliance.

Short thread. 1/4 https://t.co/PlxhqV5cZS

– CZ 🔶 Binance (@cz_binance) December 13, 2022

Changpeng Zhao insisted that from day one, Binance has been relentlessly targeted by the FUD – some of which was reportedly sponsored by a major stock exchange. “Since then, hardly a week goes by without some FUD. We have learned to ignore them and continue building“, CZ added in its Twitter feed.

From day 1 of the Binance ICO (5 years ago), there were FUD sponsored by a large exchange then (now very small). Articles from “Why Binance ICO will fail” to “CZ can’t write code” showed up magically. 2/4

– CZ 🔶 Binance (@cz_binance) December 13, 2022

CZ’s commentary comes on the heels of a Dec. 12 Reuters article claiming that the U.S. Department of Justice (DOJ) has been investigating Binance. Reuters reported on Monday that four people familiar with the matter explained that DOJ prosecutors are at odds over the alleged investigation. The reported split among DOJ prosecutors “is delaying the conclusion of a long-running investigation” in Binance, wrote Reuters reporter Angus Berwick.

Meanwhile, the Binance BNB exchange token has taken a big hit from the speculation and FUD surrounding the world’s largest crypto-currency exchange. The BNB crypto-currency exchange token has lost 8.5 percent of its value over the past two weeks.

Seven-day statistics show that BNB has lost more than 8 percent against the greenback, but since the release of recent U.S. inflation data on Tuesday, BNB is now down just 6.9 percent. The trend is the opposite of leading cryptocurrencies like BTC and ETH Both coins gained 5-7% this Tuesday morning.

Despite this week’s significant losses, BNB has outperformed crypto assets like BTC and ETH in terms of losses from all-time highs made last year.