• Binance has stopped its wallet services for WazirX due to false claims made by Zanmai Labs, which manages WazirX.
• Binance has set a deadline of Feb. 3rd, 2023 at 11:59 UTC for Zanmai Labs to retrieve the funds utilized for WazirX’s operations.
• WazirX recently revealed in a proof of reserves report that 90% of its user assets are stored in Binance wallets.
Binance Stops Wallet Support for WazirX
Binance, the world’s largest cryptocurrency exchange, has discontinued its wallet support for the Indian cryptocurrency platform WazirX following false claims from Zanmai Labs, which manages the platform. As a result, Binance has given Zanmai Labs a deadline of Feb. 3rd, 2023 at 11:59 UTC to withdraw their untrue statements or end the partnership. If a satisfactory reply is not received by this time, Binance will be forced to end the association and retrieve any funds used in WazirX’s operations.
The Argument That Sparked The End Of The Collaboration
The public argument between WazirX co-founder Nischal Shetty and Binance CEO Changpeng Zhao over who holds authority over WazirX ignited when Indian authorities started looking into potential violations of foreign exchange regulations by the exchange platform. This argument ultimately led to the discontinuation of wallet support from Binance.
Proof Of Reserves Report Revealed
WazirX recently published a proof of reserves report through CoinGabbar, an independent website that tracks crypto assets and revealed that 90% of user assets were stored in Binance wallets at the time it was published – with 92% worth $259 million in value and other exchanges holding only $26 million worth.
Binance Denies Ownership Over Exchange
Despite announcements made back in 2019 suggesting otherwise, Binance has since denied any ownership over the exchange and clarified that it only provides wallet and tech services to them without actually owning them directly.
Conclusion
In conclusion, while arguments have sparked between both sides regarding who holds authority over WazirX as well as who owns it ultimately – it is clear that 90% of user assets are still held within Binance wallets despite no direct ownership being claimed by either side at this moment in time.