Elon Musk, Spacex CEO and Tesla founder Elon Musk raised concerns about Binance’s dogecoin problem. Musk calls the situation “shady,” adding that “DOGE holders using Binance should be protected from errors that are not their fault.” Both Binance CEO Changpeng Zhao and the official Twitter account for the crypto exchange responded.
Elon Musk raises issue in support of other dogecoin holders
Tesla CEO Elon Musk raised concerns for dogecoin owners regarding the DOGE issue at Binance cryptocurrency exchange. This led to a number of incorrect dogecoin transactions, with some users reporting that they were locked out.
Musk, who is sometimes known as the Dogefather, asked Binance CEO Changpeng Zhao (CZ), “What’s going on with your Doge customers?” He added, “Sounds shady.” His tweet gained much attention. The tweet has already been shared 4.5K times and was liked 24.1K.
Zhao, as well as the official Twitter account of Binance, replied to Tesla’s boss.
Musk’s statement about the situation as being suspicious was not supported by Binance. “No, not shady — just frustrating and we’re working on it,” the exchange’s official account wrote, pointing the Spacex CEO to another thread with a detailed explanation of the situation it previously posted.
“The root cause is a technical issue during the recent upgrade process that caused old transactions to be resent to 1,674 users,” Binance explained, clarifying that the issue occurred on Binance and not on other crypto trading platforms “because we have a different technical wallet setup for DOGE.” The exchange added:
The wallet must be rebuilt completely, which has caused a delay we anticipate may continue for another week.
While acknowledging that “users who received old transactions” and “users who cannot withdraw DOGE are upset,” Binance requested: “We’ve kindly asked those that receive the old transactions to return them, but we’re aware that select users are having trouble accessing some of the wallets.”
However, Musk argued that dogecoin holders using Binance “should be protected from errors that are not their fault.” He proceeded to point to a threadDogecoin Developers explains the situation.
Binance CEO, Jeff Binance joined the discussion shortly after. He told Musk that his team is “pretty certain” the problem is “an issue with the latest DOGE wallet,” adding that Binance is in communication with the Dogecoin devs. After apologizing to Musk, Zhao said that he was sorry for any inconvenience. Musk was then asked by Zhao to end his tweet about the Tesla software error that led to a recall for 12,000 cars. “What happened here?” he wrote.
Musk responded:
I don’t use Binance (tried at one point, but signup was too many hoops to jump through), so no inconvenience to me personally. This is just a matter I am raising on behalf of DOGE owners.
“Appreciate it,” Zhao responded. “I overreacted a bit due to the word ‘shady,’” he admitted.
“The KYC part is tedious, and we can’t service U.S. users. You could try Binance.us though,” CZ tried to convince Musk. “Still a tedious signup process, but have DOGE. We are working with their team to fix the issue ASAP.” Musk simply responded with “Sounds good.”
Musk also commented on a thread about centralized crypto exchanges, like Binance and Robinhood, taking custody of people’s cryptocurrencies. Replying to a tweet stating, “Not your keys, not your crypto,” Musk wrote: “Exactly.”
Tesla CEO stated previously that he owned three types of crypto currencies: bitcoin (BTC), dogecoins (DOGE), and ether (ETH). He confirmed, however that he doesn’t own the meme crypto-shiba inu (SHIB) which is a doge competitor. In October, he said the real reason he supports dogecoin is because “it felt like the people’s crypto.”
You think Elon Musk is raising concern for dogecoin holders in Binance. And, what do you think about Binance’s responses? Please comment below.
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