Binance, the world’s biggest cryptocurrency exchange, saw the highest daily amount of outflows of over $3 billion on Tuesday to hit total outflows of nearly $9 billion in the last seven days, according to crypto analytics firm Nansen.
The net outflows for the last seven days stand at around $3.6 billion. While the data is relevant to only ERC-20 tokens, Binance has 65% of its holdings in Ethereum. Also, the outflows are relatively much larger compared to other cryptocurrency exchanges.
Coinbase, the second-largest crypto exchange in terms of volumes, saw net outflows of roughly $574 million from its primary wallet and about $248 million from its custody service in the last seven days.
Binance maintained an average inflow of over $2 billion ERC-20 tokens in November, but the trend has now reversed.
Per Nansen, the outflows are a consequence of large market makers exiting the exchange. Wintermute pulled out over $300 million between Dec. 11-12, and Jump Crypto removed around $106 billion in the past week.
The crypto exchange also came under pressure after a Reuters report published on Dec. 12 claimed that the U.S. Department of Justice is investigating Binance’s executives for potential financial fraud. However, Binance has claimed that the report is false.
In response to the outflows, Binance CEO Changpeng “CZ” Zhao, has said it’s “business as usual” and might actually serve as a good “stress test” for withdrawals.
Despite the outflows, Binance’s net worth still stands at around $60 billion, at press time, according to Nansen data, with most of the assets in BUSD, Tether, BTC, and ETH.
