The cryptocurrency market has been abuzz with recent rumors from an anonymous source claiming that Changpeng Zhao (CZ), CEO of cryptocurrency exchange Binance, allegedly received a Red Notice from Interpol.
The rumor about the issuance of an Interpol Red Notice for Changpeng Zhao (CZ), the CEO of Binance, has immediately impacted the exchange’s native currency, BNB. This quickly suffered a 3.11% drop in price and is currently trading at $303.
Speculation spread after popular Twitter user Crypto Cobie posted a crypto message. The “Interpol Red Warning for CZ” message was encoded in a string of characters and numbers using the SHA-256 hash algorithm, the same encryption used to safeguard bitcoin and other cryptocurrencies.
Despite the accusations against him, CZ has taken to his Twitter account to denounce the claims, stating that they are completely false. It even shared a photo of the alleged Red Notice, claiming it was photoshopped.
This claim has made many cryptocurrency traders and investors nervous because they fear for the future of Binance, CZ and the entire cryptocurrency industry. In addition, the uncertainties and volatility in the cryptocurrency market have been exacerbated by the current charge against CZ. Many consider cryptocurrencies promising investment opportunities, but they can be dangerous due to the lack of regulation and the possibility of legal disputes.
According to a previous report by Cryptoinform, Changpeng Zhao (CZ) has been accused by two law firms, Moscowitz and Boies Schiller Flexner, of engaging in fraudulent activities within the cryptocurrency market. The allegations against the Binance CEO include issuing unregistered securities and using self-proclaimed “finance gurus” on social media to promote the exchange of personal financial gains.