Could Binance Collapse?

[Accardo]

Binance could fall, but not yet. I disagree with CZ's warning to the US authorities that if they're prosecuted the whole crypto market will fall. It's quite impossible for everything to fall alongside binance if it collapses anytime. The only effect is the fall in price, yet the market will progress with or without binance. The exchange is too large with many traders across the global, but the truth is anything can happen in cryptocurrency. That's why users must not only diversify their assets, trading with different exchanges is recommended to reduce or minimize high rate of traders utillizing 1 exchange. So that the market won't depend deeply on one exchange like Binance. Which may cause big losses to the market if they get prosecuted or collapses.

[Darker45]

First off, Binance could collapse, prosecuted or not. FUD or not, it could happen. It's always a possibility not just with Binance but with all centralized exchanges. If it happens and you're into BNB or BUSD and your funds are kept in Binance, then expect that you'll lose all of them. To avoid that risk, you only need to stay away from those risky altcoins including stablecoins and choose self-custody. It ain't that complicated at all.

It's plain hubris for Binance to equate itself with crypto. Or is it blackmailing? But if it were true that the entire crypto would collapse if Binance collapses, then let them all collapse. They're not meant to last, anyway. But Bitcoin will definitely stay. It isn't centralized. There's nobody to prosecute or arrest. There's nothing to shut down or raid or whatever. The price will definitely be affected, but only temporarily. Its survival means it could solely gain back the trust and confidence of everybody just like when it started, and all the money that could have gone to any altcoin would go to Bitcoin, as in real Bitcoin, not paper Bitcoin, not IOUs, not mere numbers.