What we do know is that binance hasn't ever done a proper audit, considering that, I can call Binance a scam with a high degree confidence and the only way for me to stop saying it is by them doing a full audit by a reputable company.
Which they are not going to do since they are scam.
Like so many scams, people will look back at Binance and wonder how it was able to last so long.
If you look at the App Store reviews of the Binance app, (after the first pinned one)
They’re all people complaining Binance allows them to deposit money into their account but requires photos of ID’s to get the money out. But once you send the ID over they never approve it so you cant get the money out. But there’s no one to call and no listed email to request help to get approval.
And the AI chat bot doesn’t work either.
So the reviews are just people complaining their money is just stuck in their account with no way to withdraw it.
None of those things tell me Binance is safe. Binance is not even a year old! Low fees and the fact that their servers haven't crashed yet are hardly reassuring. Being based in China doesn't help me trust them either.
I'm really skeptical of Binance, whilst I would never accuse them of anything specific, I have no proof. Their structure, governance and business model combined with their refusal to meet basic regulatory requirements makes me feel uneasy.
Yes Binance seem like a scam, and even if totally legit their net worth is in currencies which have fallen dramatically and will keep falling. They haven’t had a proper audit, so you just have to trust them.
That's only because Binance is just operating as an unregulated bank there. It is also extremely easy to lose all your money that way because the coin you chose to transact in plummeted, or the exchange decided to freeze your account, or the exchange becomes insolvent and decided to halt withdrawals, or your country decided to start blocking that exchange due to massive fraud, or you simply lose your private keys...
How do you know Binance hasn't stolen anyone's money? Is there a reputable auditor's statement to that effect? Seems very unlikely when Binance pretends they're not even headquartered in any jurisdiction. Nobody has any idea about Binance's actual money flows and where customer funds have actually ended up.
For me the concern with Binance is that it's the biggest crypto exchange in the world, yet has no geographical base and has (AFAIK) never had a proper audit.
Without more clarity, there's no way anyone can know for sure if all is well or not, and that's not a great place to put your money given there is likely no insurance if it goes wrong.
And I would hope binance is not a scam, so people don't lose their money.
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