{"id":13337,"date":"2022-11-25T08:17:45","date_gmt":"2022-11-25T08:17:45","guid":{"rendered":"https:\/\/coingrafter.com\/index.php\/2022\/11\/25\/willy-woo-raises-concerns-on-bnb-backed-binance-safu-fund\/"},"modified":"2022-11-25T08:17:46","modified_gmt":"2022-11-25T08:17:46","slug":"willy-woo-raises-concerns-on-bnb-backed-binance-safu-fund","status":"publish","type":"post","link":"https:\/\/coingrafter.com\/index.php\/2022\/11\/25\/willy-woo-raises-concerns-on-bnb-backed-binance-safu-fund\/","title":{"rendered":"Willy Woo Raises Concerns On &#8220;BNB-Backed&#8221; Binance SAFU Fund"},"content":{"rendered":"<p> [ad_1]<br \/>\n<\/p>\n<div>\n<p>\n<iframe loading=\"lazy\" src=\"https:\/\/coingape.com\/willy-woo-raises-concerns-on-bnb-in-binance-safu-fund\/about:blank\" width=\"320\" height=\"100\" marginwidth=\"0\" marginheight=\"0\" hspace=\"0\" vspace=\"0\" frameborder=\"0\" scrolling=\"no\" data-rocket-lazyload=\"fitvidscompatible\" data-lazy-src=\"https:\/\/servedbyadbutler.com\/adserve\/;ID=180936;size=320x100;setID=508113;type=iframe;click=CLICK_MACRO_PLACEHOLDER\"><br \/>\n<\/iframe><noscript><iframe loading=\"lazy\" src=\"https:\/\/servedbyadbutler.com\/adserve\/;ID=180936;size=320x100;setID=508113;type=iframe;click=CLICK_MACRO_PLACEHOLDER\" width=\"320\" height=\"100\" marginwidth=\"0\" marginheight=\"0\" hspace=\"0\" vspace=\"0\" frameborder=\"0\" scrolling=\"no\"><br \/>\n<\/iframe><\/noscript>\n<\/p>\n<p>Popular on-chain analyst Willy Woo raised issues over Binance\u2019s Secure Asset Fund for Users (SAFU) Insurance Fund. He believes it\u2019s not protected to place \u201cincidence-correlated BNB\u201d within the SAFU fund. Willy Woo compares it with the <a href=\"https:\/\/coingape.com\/glossary\/crypto-exchange-2\/\" target=\"_blank\" rel=\"noopener\">crypto exchange<\/a> FTX having an insurance coverage fund backed by FTT.<\/p>\n<h2>Is It Safe to Have BNB in Binance SAFU Fund?<\/h2>\n<p>Willy Woo in a <a rel=\"nofollow noopener\" href=\"https:\/\/twitter.com\/woonomic\/status\/1595803561413476353\" target=\"_blank\">tweet<\/a> on November 25 shared that Binance\u2019s Secure Asset Fund for Users (SAFU) now consists of $367 million value of BNB, which is 44% of the fund. Moreover, it has $300 million value of Binance\u2019s dollar-pegged stablecoin BUSD and simply $270 million value of Bitcoin. It has fallen considerably under $1 billion amid value fluctuations.<\/p>\n<p>Willy Woo believes the SAFU insurance coverage fund with 44% of its reserves backed by BNB isn&#8217;t protected. He compares it with FTT, the native token of FTX crypto change, which plummeted massively amid the <a href=\"https:\/\/coingape.com\/tag\/ftx\" target=\"_blank\" rel=\"noopener\">FTX<\/a> disaster. It can be like FTX having an insurance coverage fund backed largely by FTT tokens.<\/p>\n<blockquote>\n<p>\u201cWhile I commend Binance for having such a fund, there\u2019s no sense putting incidence-correlated BNB in there. How would we feel about FTX having an insurance fund filled with FTT?\u201d<\/p>\n<\/blockquote>\n<p>Crypto change Binance on November 9 <a href=\"https:\/\/coingape.com\/web-stories\/binance-tops-up-emergency-fund-as-market-crashes\/\" target=\"_blank\" rel=\"noopener\">topped the emergency insurance fund<\/a> with $700 million value of BNB and BUSD tokens and $300 million value of Bitcoin. However, Willy Woo famous the fund has now declined to $837 million amid market fluctuations. He additionally shared <a rel=\"nofollow noopener\" href=\"https:\/\/blockchair.com\/bitcoin\/address\/1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD\" target=\"_blank\" data-wpel-link=\"external\">Bitcoin<\/a>\u00a0and\u00a0<a rel=\"nofollow noopener\" href=\"https:\/\/bscscan.com\/address\/0x4B16c5dE96EB2117bBE5fd171E4d203624B014aa\" target=\"_blank\" data-wpel-link=\"external\">BSC<\/a> addresses for verifying SAFU proof of reserves. The change plans to implement a Merkle tree-based <a href=\"https:\/\/coingape.com\/binance-to-start-proof-of-reserves-for-full-transparency-cz\/\" target=\"_blank\" rel=\"noopener\">proof of reserves system<\/a> verifying its whole change belongings.<\/p>\n<p>The $837 funds nonetheless roughly match the $68 million in Binance\u2019s proof of reserves and almost $800 million inside Binance Custody. Willy Woo asserts the SAFU fund can take a success throughout troublesome market circumstances as seen traditionally. BNB\u2019s efficiency is instantly associated to Binance\u2019s stability and success. Thus, it issues having BNB within the emergency fund.<\/p>\n<blockquote>\n<p>\u201cBSC is governed 21 validators chosen daily by 11 validators on the BNB chain. There\u2019s circumstantial evidence that the 11 beacon chain validators are centralised around Binance. In a Binance incident, the BSC valuation component of BNB would likely also sell off.\u201d<\/p>\n<\/blockquote>\n<h2>BNB Price Stagnates<\/h2>\n<p>BNB value trades at $296, down almost 1% within the final 24 hours. The BNB token has failed to carry over $300 regardless of the robust efficiency and steady enlargement of Binance.<\/p>\n<p>While the BNB token noticed an virtually 9% rally in per week amid Binance CEO \u201cCZ\u201d <a href=\"https:\/\/coingape.com\/breaking-binance-ceo-cz-reveals-plans-on-ftx-industry-recovery-fund\/\" target=\"_blank\" rel=\"noopener\">announcing an industry recovery fund<\/a>, the worth fails to maneuver towards the market.<\/p>\n<p><strong>Also Read: <a href=\"https:\/\/coingape.com\/binance-launches-web3-industry-recovery-initiative\/\" target=\"_blank\" rel=\"noopener\">Binance $1 Billion Industry Recovery Initiative<\/a><\/strong><\/p>\n<div class=\"TabDicA\">\n<div class=\"TBAcon \">\n<div class=\"authorFlip tabcS\" id=\"TabA128507\">\n<div class=\"authorBox\">\n<div class=\"author_Name\">\n<p>\nVarinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his information about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been related to the blockchain and cryptocurrency business for a considerable interval and is presently overlaying all the most recent updates and developments within the crypto business.\n<\/p>\n<\/div>\n<div class=\"author_Image\">\n<img loading=\"lazy\" decoding=\"async\" alt=\"\" srcset=\"https:\/\/secure.gravatar.com\/avatar\/f187fb5b7b3b0b9367ef83384cb40d5f?s=400&amp;d=mm&amp;r=g 2x\" class=\"avatar avatar-200 photo\" height=\"200\" width=\"200\" src=\"https:\/\/secure.gravatar.com\/avatar\/f187fb5b7b3b0b9367ef83384cb40d5f?s=200&amp;d=mm&amp;r=g\"\/><noscript><img loading=\"lazy\" decoding=\"async\" alt=\"\" src=\"https:\/\/secure.gravatar.com\/avatar\/f187fb5b7b3b0b9367ef83384cb40d5f?s=200&amp;d=mm&amp;r=g\" srcset=\"https:\/\/secure.gravatar.com\/avatar\/f187fb5b7b3b0b9367ef83384cb40d5f?s=400&amp;d=mm&amp;r=g 2x\" class=\"avatar avatar-200 photo\" height=\"200\" width=\"200\"\/><\/noscript> <\/div>\n<\/div>\n<\/div>\n<div class=\"TabDesCm tabcS\" id=\"TabD128507\">\n<p> The introduced content material might embody the non-public opinion of the creator and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The creator or the publication doesn&#8217;t maintain any accountability to your private monetary loss.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/>[ad_2]<br \/>\n<br \/><a href=\"https:\/\/coingape.com\/willy-woo-raises-concerns-on-bnb-in-binance-safu-fund\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] Popular on-chain analyst Willy Woo raised issues over Binance\u2019s Secure Asset Fund for Users (SAFU) Insurance Fund. He believes it\u2019s not protected to place \u201cincidence-correlated BNB\u201d within the SAFU fund. Willy Woo compares it with the crypto exchange FTX having an insurance coverage fund backed by FTT. Is It Safe to Have BNB in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":13339,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ocean_post_layout":"","ocean_both_sidebars_style":"","ocean_both_sidebars_content_width":0,"ocean_both_sidebars_sidebars_width":0,"ocean_sidebar":"","ocean_second_sidebar":"","ocean_disable_margins":"enable","ocean_add_body_class":"","ocean_shortcode_before_top_bar":"","ocean_shortcode_after_top_bar":"","ocean_shortcode_before_header":"","ocean_shortcode_after_header":"","ocean_has_shortcode":"","ocean_shortcode_after_title":"","ocean_shortcode_before_footer_widgets":"","ocean_shortcode_after_footer_widgets":"","ocean_shortcode_before_footer_bottom":"","ocean_shortcode_after_footer_bottom":"","ocean_display_top_bar":"default","ocean_display_header":"default","ocean_header_style":"","ocean_center_header_left_menu":"","ocean_custom_header_template":"","ocean_custom_logo":0,"ocean_custom_retina_logo":0,"ocean_custom_logo_max_width":0,"ocean_custom_logo_tablet_max_width":0,"ocean_custom_logo_mobile_max_width":0,"ocean_custom_logo_max_height":0,"ocean_custom_logo_tablet_max_height":0,"ocean_custom_logo_mobile_max_height":0,"ocean_header_custom_menu":"","ocean_menu_typo_font_family":"","ocean_menu_typo_font_subset":"","ocean_menu_typo_font_size":0,"ocean_menu_typo_font_size_tablet":0,"ocean_menu_typo_font_size_mobile":0,"ocean_menu_typo_font_size_unit":"px","ocean_menu_typo_font_weight":"","ocean_menu_typo_font_weight_tablet":"","ocean_menu_typo_font_weight_mobile":"","ocean_menu_typo_transform":"","ocean_menu_typo_transform_tablet":"","ocean_menu_typo_transform_mobile":"","ocean_menu_typo_line_height":0,"ocean_menu_typo_line_height_tablet":0,"ocean_menu_typo_line_height_mobile":0,"ocean_menu_typo_line_height_unit":"","ocean_menu_typo_spacing":0,"ocean_menu_typo_spacing_tablet":0,"ocean_menu_typo_spacing_mobile":0,"ocean_menu_typo_spacing_unit":"","ocean_menu_link_color":"","ocean_menu_link_color_hover":"","ocean_menu_link_color_active":"","ocean_menu_link_background":"","ocean_menu_link_hover_background":"","ocean_menu_link_active_background":"","ocean_menu_social_links_bg":"","ocean_menu_social_hover_links_bg":"","ocean_menu_social_links_color":"","ocean_menu_social_hover_links_color":"","ocean_disable_title":"default","ocean_disable_heading":"default","ocean_post_title":"","ocean_post_subheading":"","ocean_post_title_style":"","ocean_post_title_background_color":"","ocean_post_title_background":0,"ocean_post_title_bg_image_position":"","ocean_post_title_bg_image_attachment":"","ocean_post_title_bg_image_repeat":"","ocean_post_title_bg_image_size":"","ocean_post_title_height":0,"ocean_post_title_bg_overlay":0.5,"ocean_post_title_bg_overlay_color":"","ocean_disable_breadcrumbs":"default","ocean_breadcrumbs_color":"","ocean_breadcrumbs_separator_color":"","ocean_breadcrumbs_links_color":"","ocean_breadcrumbs_links_hover_color":"","ocean_display_footer_widgets":"default","ocean_display_footer_bottom":"default","ocean_custom_footer_template":"","ocean_post_oembed":"","ocean_post_self_hosted_media":"","ocean_post_video_embed":"","ocean_link_format":"","ocean_link_format_target":"self","ocean_quote_format":"","ocean_quote_format_link":"post","ocean_gallery_link_images":"on","ocean_gallery_id":[],"footnotes":""},"categories":[14],"tags":[192,5275,2683,155,429,5276,3348,159],"class_list":["post-13337","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-altcoin","tag-binance","tag-bnbbacked","tag-concerns","tag-fund","tag-raises","tag-safu","tag-willy","tag-woo","entry","has-media","owp-thumbs-layout-horizontal","owp-btn-normal","owp-tabs-layout-horizontal","has-no-thumbnails","has-product-nav"],"_links":{"self":[{"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/posts\/13337","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/comments?post=13337"}],"version-history":[{"count":1,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/posts\/13337\/revisions"}],"predecessor-version":[{"id":13338,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/posts\/13337\/revisions\/13338"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/media\/13339"}],"wp:attachment":[{"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/media?parent=13337"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp\/v2\/categories?post=13337"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coingrafter.com\/index.php\/wp-json\/wp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