The blockchain analytic firm PeckShield raised an alert on the transfer of $240,000 from Binance’s official wallet to an unknown address, sparking agitation in the community about Binance’s ignorance in the scams.
According to the Peckshield, Binance’s “Hot Wallet 7” wallet address has transferred a whopping $240,000 worth of USDC stablecoins to an address labeled as “Fake_Phishing.”
There needs to be an explanation given by Binance on this matter. However, people already started dishing out possible theories for this.
One possible explanation is that Binance followed the user’s request in which the owner of “Fake_Phishing” executed a standard withdrawal from the exchange.
On the flip side, some intellectuals are worried that this money might be connected to illegal stuff or scams. However, Binance already has KYC details of its customers and can easily track down users behind it and can freeze the fund if it finds illegal funds.
After the news surfaced in the community, the demand for restricting withdrawal to scam addresses became stronger.
However, it is better to wait for a clear explanation from Binance before making any conclusion.