Binance CEO Supports Luna Community, But Criticizes Lack of Transparency

The recent situation with the Luna cryptocurrency is one of the concerns for many investors and also a difficult period for the entire industry. While many are commenting on the whole situation, Binance CEO says, Changpeng Zhao still shows sympathy for the Luna community, but believes that there was a major management failure on the part of the developers.

In a thread on Twitter, CZ commented again on the matter, highlighting how the current situation has shown that the crypto market is more resilient than in previous years, when similar situations had affected the entire sector much more severely.

“The past few weeks have proven to be a time of change for the cryptocurrency industry. We witnessed the rapid demise of a major project that eventually caused waves all over the market, but we also saw a new resilience in the market that was not there during the last crash.”

1/8 The past few weeks have proved to be a turning point for the crypto industry. We experienced the rapid decline of a major, which felt a ripple throughout the industry, but also a new-found resilience in the market that didn’t exist during the last market downturn.

— CZ 🔶 Binance (@cz_binance) May 15, 2022

lack of transparency

CZ noted that he and Binance have been trying to provide necessary support to the entire community since the start of the whole thing, but he believes there is a lot of transparency on behalf of the developers.

Not only that, but it also condemned the Terra team’s actions, mainly criticizing the additional cryptocurrency mining and proposed forks.

“Over the past few days we have tried very hard to support the Earth community. In my tweets, I’m simply pointing out possible errors as far as I’m aware. Mining and forking do not create value. Buying back and burning coins creates value, but it requires funds that the project team may not have.”

Another problem for CZ is precisely the lack of transparency on the part of developers, who do not disclose information about how much they have and plan to spend to get around the situation, where investors and the brokerage itself rely only on ‘analysis By a third party’ .”

However, despite these mistakes, Binance’s CEO stated that the exchange will always be willing to support the community in any way it can.

“I just hope that the project teams can rise from the ashes and rebuild in a proper and sensible way. Regardless of my personal opinion or the solution ultimately chosen, we will always be there to support the community in any way we can.”

Binance has some concerns about Luna, the exchange should in theory protect its customers by providing a good selection of the cryptocurrencies it lists and provide trading support, the Luna case has done a lot of damage and some may want to blame the broker.

However, the exchange’s leadership seems determined to assist in a possible comeback of the project, if at all.