Breaking Crypto News – CEO Ben Zhou Sets the Record Straight on Bybit Bankruptcy Rumors
Breaking Crypto News – In a post uploaded on X, Ben Zhou, the CEO of cryptocurrency exchange Bybit, addressed the claims circulating about the platform being compromised and bankrupt.
On May 22, there were tidings on X about an exchange going bankrupt. The rumor gained momentum as it circulated due to a barrage of parodies that imitated a widely shared FTX-related post on X.
However, this time, Bybit was referenced in the posts. While others attempted to gain a deeper understanding of the situation, others joked about taking their money out of the transaction.
Zhou Shares PoR After His Statement
The rumor may have originated from a flaw in an Arkham Intelligence proof-of-reserves graph, according to a cryptocurrency user’s speculation. Bybit’s wallets appeared to be being depleted in the graph, which might cause some to wonder if the exchange was compromised or bankrupt. Nevertheless, the trading platform’s wallets continued to indicate that the money was still there when inspected separately.
Bybit made it clear a day later that there was truth to none of the rumors. Zhou declared on X on May 23 that the rumors were untrue.
None of the rumours that I have see so far have any real facts supporting it, please be aware.
Zhou
A link to Bybit’s proof-of-reserves (PoR) and a Nansen dashboard displaying all Bybit wallets and the amount of assets they contain were also supplied by Zhou. More than 100% of user assets are held by the trading platform, according to the PoR. This guarantees that all of the assets will be easily accessible on the exchange in the event that users choose to withdraw them.
FAQ
What is the trend in Bankruptcy in 2024?
In the 12-month period that ended on March 31, 2024, the number of bankruptcy filings increased by 16 percent. This is a comparable rate of acceleration to the quarterly report from December 31, 2023, but the number of new bankruptcy cases is still far fewer than it was before the coronavirus (COVID-19) epidemic.
What Are Proof of Reserves?
Traditionally, the term “Proof of Reserve” has referred to companies that store cryptocurrencies and release reports to the public on their reserves, which are used by independent auditors to demonstrate the company’s solvency to depositors.
For more up-to-date crypto news, you can follow Crypto Data Space.
Leave a comment