Genesis Trading has a large BCH short borrowed from Gemini Earn, which they cannot afford to cover, estimated at around 1 million BCH.

To reduce their apparent liability while they negotiate with creditors, Genesis wants the price of BCH to go down.

On Tuesday, someone deposited 30,000 BCH at Binance and began selling it. However this failed to significantly lower the price as there were large bids at Coinbase and Kraken to buy BCH just below $100. Arbitrageurs would withdraw the BCH from Binance and sell it at other exchanges.

Faced with certain failure, the BCH selling at Binance was stopped and some was repurchased, causing a slight rise in price.

Shortly thereafter, $177,777,776 BUSD was issued and used to purchase BNB, raising the market cap of BNB by over a billion dollars. This was then used as collateral to purchase large amounts of BTC, ETH and other coins on margin.

They pumped the entire market to hide the price rise in BCH that otherwise would have been obvious.

The fact that this was done with BNB makes it clear that Binance was in on the deal, and this wasn't just Silbert buying BUSD with his own money.

This leaves Binance with a huge liability backed only by it's own (mostly worthless) BUSD and BNB.

Why is CZ covering for Barry Silbert???

submitted by /u/saylor_moon
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