Following the report on the pausing of withdrawals by Binance on Tuesday, Blockchain analytics firm Nansen, says that about $3 Billion was withdrawn by investors.
Nansen in a Twitter post said that this was the highest withdrawals since June.
Binance also confirmed the surge in withdrawals in a tweet made on Wednesday.
The firm however said that this was not its highest withdrawal as insinuated.
“Things seem to have stabilized. Yesterday was not the highest withdrawals we processed, not even top 5. We processed more during LUNA or FTX crashes. Now deposits are coming back in. 🤷♂️💪” it said in a tweet.
On Tuesday, Binance paused withdrawals of its stablecoin USDC due to an ongoing “token swap.”
In a tweet on Tuesday afternoon, the Chief Executive Officer (VEO) of Binance, Changpeng Zhao allayed fears that the exchange was going through turbulent times.
Zhao who said that the exchange has observed an increment in withdrawals said that users can withdraw its other tokens which include BUSD and USDT.
“On USDC, we have seen an increase in withdrawals. However, the channel to swap from PAX/BUSD to USDC requires going through a bank in NY in USD. The banks are not open for another few hours. We expect the situation will be restored when the banks open.”
“These are 1:1 conversions, no margin or leverage involved. We will also try to establish more fluid swap channels in the future. In the meantime, feel free to withdraw any other stable coin, BUSD, USDT, etc. 🙏”