Woo: “Binance customers don’t care” about SEC enforcement action

On-chain Analyst Willy Woo has said, “Binance customers don’t care” about recent enforcement actions by the Securities Exchange Commission (SEC).

Woo made the comments regarding Bitcoin holders on the main global platform. However, further analysis showed Binance.US altcoin holders are withdrawing significant funds.

Binance Bitcoin balance holds steady

On June 6, the SEC filed a motion requesting the court freeze assets held by Binance.US.

On-chain analysis conducted by Woo showed Binance’s Bitcoin balance appears relatively stable,  implying that users are not panicking or rushing to withdraw their BTC at present.

“Not seeing much BTC leaving, not yet at least.“

One commenter replied to Woo that this reflected a change in sentiment: “People are finally saying FU to the corruption of Gensler and the governments.”

Another echoed Woo’s premise of Binance users remaining largely unfazed, saying the SEC “overplayed their role,” and investors no longer consider them a legitimate organization.

Commenting on the motion, the Co-founder of Reflexivity Research, Will Clemente, suggested that the securities agency was deliberately trying to cause a run on Binance. Adam Cochran said, “A run on that should do no damage” if Binance has 1:1 backing as it claims.

Ethereum assets on Binance US fall

Data from DeFi Llama showing ERC-20 flows on Binance.US paints a different story from above.

While Bitcoin held by Binance.com may be relatively stable, Ethereum-based assets held by Binance.US saw a $76.5 million outflow on June 7.

Days earlier, on June 5, the day the SEC filed against Binance, Binance.US, and CEO Changpeng Zhao (CZ) over allegations of operating an unregistered exchange, among other charges, total Ethereum outflows from the U.S. arm came in at $506.9 million.

The disparity suggests Binance.US altcoin users are more concerned about the potential implications of the SEC’s enforcement actions against the company.

Binance CEO Changpeng Zhao (CZ) clarified that the motion to freeze assets would only affect Binance.US if approved by the court.

“It does NOT affect Binance.com. Funds are #SAFU.”

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