CZ alleges FTX paid $43M to news organization to publish Binance FUD

FTX funded FUD against Binance and the impact of AI in crypto were discussed during a recent Twitter AMA with the Binance CEO.

1 min read
Updated: January 24, 2023 at 11:58 am CZ alleges FTX paid $43M to news organization to publish Binance FUD

Cover art/illustration via CryptoSlate

Binance CEO Changpeng (CZ) Zhao alleged during a Twitter space talk that FTX paid $43 million to a crypto news outlet that regularly publishes negative articles on Binance,

CZ claimed that traders with short positions look to “generate negative news” to better their trades. Therefore, he is “fine” with crypto skeptics such as Peter Schiff criticizing the industry as “they don’t get it, they don’t understand it.”

However, he admitted to paying attention to the negative press allegedly funded by FTX. CZ said:

“I don’t think it’s going to stop, but I don’t think it’s going to bother us that much going forward.”

The Binance CEO praised the ability of people to “come to their own judgments,” stating that “people are pretty smart today… most people are no longer fooled by clickbait titles.”

In response to another audience question on AI, CZ asserted that Binance is using the technology in many parts of its business. For example, roughly 75% of Binance’s customer support is handled via AI, along with risk management, transaction monitoring, fraud detection, and market manipulation detection.

CZ also believes there will be further implementation of AI technology within the blockchain space in relation to analyzing data and detecting critical changes to risk.

“With machine learning becoming more and more mature and more stronger, there will be more and more applications.”

Risk management was a critical factor in the failure of many crypto exchanges and lending services throughout 2022. Therefore, the ability of AI to mitigate the difficulties of managing risk within a complex on-chain environment could be crucially important to blockchain projects in the future.

Editor and Producer at CryptoSlate

Also known as Akiba, Liam is a journalist and editor of Blocklight at CryptoSlate. He believes that decentralized ledger technology has the potential to make widespread positive change. He predicts the next 10 years will bring in a dawn of a new age of technological innovation.

Posted In: Binance, FTX, Adoption, AI, Exchanges, Featured, People, Rumors

Connect your wallet, trade with Orion Swap Widget.

Directly from this Widget: the top CEXs + DEXs aggregated through Orion. No account, global access.