OKEx CEO criticizes Binance for blindly supporting DeFi projects

Melissa Castillo September 20, 2020 0 Comments

Jay Hao calls Binance’s behavior irresponsible.

Jay Hao, the managing director of the OKEx crypto exchange, criticizes Binance managing director Changpeng Zhao for the fact that his crypto exchange recently supported certain DeFi projects

In this context, Hao also claims that the Binance Smart Chain (BSC) is in reality highly centralized and controlled by a single development team. As an example of the danger posed by this centralization, he cites the DeFi BakerySwap ($ BAKE) project, which was built at the BSC and crashed within just 12 hours of its introduction. This had led to heavy losses for many investors and drew corresponding criticism.

With his latest tweet, Hao continues his previous thoughts from September 15, in which the OKEx CEO approached Binance managing director Zhao and Binance co-founder Yi He for their hasty listing of the DeFi project SUSHI. A few days ago he criticized Binance for “acting irresponsibly” and thus massively damaging the trust of the crypto community and taking the field of decentralized financial services (DeFi) a step back.

Accordingly, he writes:

“These losses are the result of blind faith in #Binance. Although @heyibinance claims that all projects at the BSC are being scrutinized, $ BAKE still crashed, which resulted in @cz_binance deleting his tweet promoting BakerySwap yesterday, just like he had previously done on #SushiSwap. “
It should be noted that the controversial OKEx DeFi project SUSHI on the same day in the listing had taken as Binance.

The recent hype about decentralized financial services is putting the crypto exchanges into a real dilemma, as they either run the risk of missing the trend if they don’t write down any projects, or jump on the bandwagon too early and write down questionable projects that cause great damage.

Binance did not want to comment on Cointelegraph’s request.