Wintermute Pulls Out $75 Million FDUSD Amidst Binance-First Digital Labs Deal
CryptoNewsTerminal Staff02 Sep, 2024
Wintermute Pulls Out $75 Million FDUSD Amidst Binance-First Digital Labs Deal
Wintermute, a well-known cryptocurrency market maker, has withdrawn 75 million FDUSD from Binance over the past hour, according to on-chain analyst The Data Nerd. The funds were transferred to First Digital Labs, a custodian that provides financial services to institutions. This withdrawal is part of a larger trend of Wintermute returning FDUSD to First Digital Labs. Over the past five days, Wintermute has withdrawn a total of 241 million FDUSD from Binance to return to First Digital Labs. The reasons behind Wintermute's withdrawals are unclear, but they come amidst increased scrutiny of Binance and other centralized exchanges. In recent months, Binance has been under investigation by the US Securities and Exchange Commission (SEC) for alleged insider trading and market manipulation. Wintermute's withdrawals may be a sign that the company is concerned about the regulatory risks associated with holding large amounts of funds on centralized exchanges. It may also be a sign that Wintermute is looking to reduce its exposure to Binance, which has been facing regulatory pressure.
