Was there any Binance Office Police raid in Shanghai China? Some sources claim that Binance has closed its Shanghai office following a raid by local police.
November 21, 2019, | AtoZ Markets – Recent rumors suggest that one of the world’s largest cryptocurrency exchanges, Binance, has had its Shanghai office shutdown causing its many staff members to either work remotely or even completely abandon China and move to Singapore. Which should not come by any surprise. As, in 2017 already Binance already announced that they are stopping their operations in Shanghai and moving to Japan and finally making Malta their home base.
Binance denies Shanghai office Police raid
According to the rumored sources cites that, there is currently no fully functioning Binance office in Shanghai anymore.
The cited sources have also added that the office was recently raided by police in the area, for unknown reasons. As such, the office which used to have some of Binance’s senior management staff no longer houses them. Sources also said many of Binance’s executives along with 100 other employees who worked in the Shanghai office have now been scattered. It is also added that both Binance CEO Changpeng “CZ” Zhao and Chief Marketing Officer (CMO) Yi He, have already moved to Singapore.
The Block has noted that a Binance spokesperson rebuffed news about the raid, stating there is really no China office:
“We don’t have entities in China, most of us work remotely in China.”
However, the spokesperson’s comments seem to run against the existence of certain pictures online of a Chinese office with staff members actually working. If the incident is true, an interesting tweet from CZ about a month ago may have suggested something like this might happen. CZ tweeted that offices are “old concepts”, probably meaning that Binance might also fall in line.
Office and HQ are old concepts like SMS and MMS. Time is moving on…— CZ Binance (@cz_binance) November 20, 2019
Does Binance plan to open a new office in Beijing?
Earlier this month, Binance was rumored to be considering opening an office in Beijing. While the news came from anonymous sources, there was no official confirmation. It was, however, said that Binance was considering this move in line with China’s public endorsement of blockchain technology. It happened after President Xi Jinping asked the country to take advantage of the technology and all that it brings.
The president’s call at the time seemed to change the entire atmosphere in the country, supposedly prompting Binance to spread its tentacles. However, speaking to Bloomberg in a recent interview, CZ dismissed the stories as a mere rumor.
China’s stance on Cryptocurrencies
Even though China is one of the most active crypto markets, digital currencies still remain outlawed. Chinese financial news platform Caixin recently reported that the Shanghai headquarters of the People’s Bank of China (PBoC) issued a joint order with the Shanghai Municipal Financial Regulatory Bureau, demanding that Shanghai district administrative offices do a compulsory inspection of all crypto-related outfits in their respective districts. The aim was reportedly to fish out all such businesses that do any activity with any assets from non-Chinese initial coin offerings (ICO) and to eventually shut them down.
In another interesting turn of events regarding crypto in China, major Chinese social media platform Weibo, recently banned accounts belonging to Binance and only cited “violations of laws and regulations and the relevant provisions of the Weibo Community Convention.” While it was initially thought to be an anti-crypto move, accounts belonging to other exchange platforms such as Huobi and OKEx, are still active.
So far there has been no official statement from Binance. AtoZMarkets has reached out to Binance and this article will be updated once we receive more details.
Crypto markets take a beating
After the news of Binance’s Shanghai office spread, the crypto market experienced a precipitous drop. Bitcoin price plunged from $8,100 to $7,500, which is an almost 8% drop. Other top cryptocurrencies suffered losses from 3 to 10% for the day.
Ethereum price lost 8% and is trading at $160. Ripple is the smallest loser in the top 10, with a 2.8% loss. The Binance Coin price declined by 3.2% and is now $16.8.
What we know
The site which sites and claims about the rumored Binance Shanghai office Police raid have put the article under paid articles list. At this moment we don’t have any official source, neither from Binance nor from Shanghai police confirming the raid. This makes us fall more towards a possible orchestrated FUD game. It also makes sense for the time being as well. Crypto prices are in bearish move ahead of the Bitcoin Halving in 2020, so why not to make it go further down and accumulate or if you are an anti-Bitcoiner, why not to try to make sure that the next bull rally does not happen?
On the contrary, the Rumor does not say when the police engaged. This could have also happened in 2017 or 2018. Or Binance could have rented a meet-up office to get together for their team discussions. There are many hidden points. However, Binance Shanghai Police raid is more fud than a real news! This is my personal opinion.
On Binance CEO, CZ’s side, he is calling the rumor as a Fud and trying to make it pass by.
Think we missed something? Let us know in the comments section below.