Nansen, a blockchain analytics company, has observed that Binance, following its recent settlement with the US Department of Justice (DOJ), has not experienced a significant outflow of funds.
This observation comes after the DOJ announced a $4.3 billion settlement with the crypto exchange and its CEO, Changpeng "CZ" Zhao.
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According to Nansen's November 22nd, X (formerly Twitter) post, Binance saw a net outflow of $956 million in Ether (ETH) within 24 hours of the settlement announcement.
Despite this, the crypto exchange's total holdings have increased to over $65 billion. Nansen highlighted that such withdrawals are not unprecedented for Binance, referencing similar scenarios in the June 2023 post-SEC lawsuit, December 2022 amid insolvency rumors, and the aftermath of the FTX incident.
The report also noted a decrease in Tether (USDT) holdings on Binance by approximately $246 million, while XRP and TrueUSD (TUSD) holdings remained stable. This data suggests that the recent developments have not triggered a drastic financial shift within the crypto exchange.
Binance underwent significant changes on November 21st, including a plea deal with US authorities and a leadership transition, with Richard Teng replacing CZ as CEO.
Speaking on November 22nd, Teng affirmed the strength of Binance's fundamentals post-DOJ deal and leadership change. On the other hand, CZ, in his farewell message to the staff, expressed his belief that at the end of the day, "Binance will be fine." However, the firm still faces an ongoing lawsuit from the US Securities and Exchange Commission.
Despite the DOJ settlement and leadership changes, Binance maintains a stable financial standing, with no major fund departure, as it navigates ongoing legal challenges.
