Binance CEO Warns “We Might Disable Wazirx Wallets” – Advises Investors to Transfer Funds to Binance CryptoBlog

Binance CEO Changpeng Zhao (CZ) has warned that his company may “disable Wazirx wallets on a technological level”, advising anyone with funds on the Indian crypto exchange to transfer them to Binance. The warning follows numerous tweets from CZ and the founder of Wazirx regarding whether or not Binance will acquire Wazirx.

Binance Disclaimer: Transfer Your Funds

The conflict between global crypto exchange Binance and Indian crypto exchange Wazirx has deepened. Binance CEO Changpeng Zhao (CZ) tweeted on Friday, advising anyone with funds on Wazirx to transfer them to Binance. He warned: “We could technically disable Wazirx wallets.”

The dispute between Binance and Wazirx began when India’s Enforcement Directorate (ED) froze Wazirx’s bank assets as part of its money laundering investigation.

Following the ED announcement, Binance’s CEO quickly denied that his company had acquired Wazirx – nearly three years after the two exchanges announced the acquisition.

While Zhao claimed that the acquisition of Wazirx “was never completed,” Wazirx founder Nischal Shetty disagreed and maintained that his exchange was indeed acquired by Binance.

Binance vs. Wazirx: Who Owns What

Attempting to prove that Binance owns Wazirx, Shetty tweeted that Binance owns Wazirx’s domain name, has root access to its Amazon AWS web hosting servers, owns all crypto assets, and receives all crypto profits.

However, CZ argued, “The founding team of Wazirx retained control of the platform’s operations. We (Binance) have never received any data or control over users, KYC, etc. Responding to Shetty’s tweet about Binance owning Wazirx, Zhao pointed out:

We do NOT have control of the trading system. You just gave the AWS connection, no source code, no deployability. You also retained access to the AWS account, source code, deployment, etc.

In a follow-up tweet, CZ claimed that Wazirx had not cooperated with Binance, adding that the exchange also appeared to be uncooperative with ED.

Regarding ED’s investigation, Shetty tweeted that Zanmai Labs, Wazirx’s owning entity, “has been cooperating with ED for over 7 days and has submitted all required data.” Wazirx also tweeted:

We have been cooperating fully with the Directorate of Enforcement (ED) for several days and have answered all of their questions fully and transparently. We disagree with the claims in the ED press release. We are evaluating our subsequent action plan.

What do you think really happened between Binance and Wazirx? Let us know in the comments section below.

Kevin Helms

An economics student from Austria, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests include Bitcoin security, open source systems, network effects, and the intersection between economics and cryptography.

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