Binance CEO CZ Suggests Inexperienced Investors To Not Jump Into Crypto Market In The Near Future.
During the Binance CEO’s Q&A session on Nov. 14, the CEO advised cash-strapped and inexperienced investors to stay away from trading cryptocurrencies.
Binance CZ Suggesting Not To Invest Everyday Money In Crypto
As an alternative to risking money essential to maintain one’s standard of living during the turbulent period, Binance’s CEO suggested unsophisticated investors wait it out.
“You should not invest in crypto if you’re using money that you need for next week or next month, you should only be using discretionary cash that you don’t need for a long time, like maybe a couple of years,” said CZ.
Investors and traders with spare cash should think twice before placing capital into the market soon due to extreme market volatility and unpredictability.
“If you don’t know what’s going on, don’t try to guess what’s going to happen. It’s very hard to predict. So we will go through a period of high volatility and unpredictableness,” he explained.
“So unless you’re very experienced, very mature, very confident, and can handle the risk, I would recommend most people just hold for this period of time,” he further explained.
Ensuring the crypto users
According to CZ, users should maintain trust in Binance since they don’t have loans, debt, owing any money to anyone, and they don’t give out loans through the exchange. Therefore, they never give user assets to a third party to manage or try to make a profit from them.
In case Binance collapsed, he reiterated that users would still be able to withdraw their funds, saying “If everybody withdraws their funds from the centralized exchange, we’ll just shut down the centralized exchange. We have many other profitable businesses that we have.”
Meanwhile, crypto users also appreciated the transparency displayed by the CEO through holding this kind of event.
“Binance is the leading cryptocurrency platform because the CEO communicates with the users often.Some CEO only organize AMA when they are having issues and want people to be calm. Binance is showing other platforms how things should be done. CZ is a good speaker and a good leader,” said one twitter user.
Binance is the leading cryptocurrency platform because the CEO communicates with the users often.Some CEO only organize AMA when they are having issues and want people to be calm. Binance is showing other platforms how things should be done. CZ is a good speaker and a good leader
— Tajo Crypto (@TajoCrypto) November 14, 2022
Another user also left a similar comment, “Great talk CZ! 👏 we appreciate your transparency. Staying #safu with our Binance and Trust Wallet.”