Binance aims to create a team for backing Twitter-based cryptocurrency solutions

Insights from reports on October 28, 2022, showed cryptocurrency exchange Binance’s intentions for creation of a team around cryptocurrency and blockchain solutions for Twitter, post the acquisition of the social media company by technology billionaire Elon Musk, as reported by Cointelegraph.

According to Cointelegraph, the development happened after Changpeng “CZ” Zhao, founder and CEO, Binance, confirmed that Musk was backed by the company with $500 million in financing, which reportedly made the cryptocurrency exchange the fourth-biggest contributor to the takeover amid 19 investors that handed Musk seven million dollars. 

On the basis of information by Cointelegraph, through Twitter, Zhao stated that the amount was sent earlier this week and made the clarification that the transaction was done using traditional banking services in the form of fiat currency, not through cryptocurrencies or blockchain protocols. In May, 2022, Binance had made the indications about co-investing on Twitter, alongside other investors such as Lawrence J Ellison Revocable Trust, Sequoia Capital Fund, Fidelity Management, among others. During that time, Zhao provided the classification around the company’s investment as a contribution for the cause. On April 25, 2022, Musk, founder and CEO, Tesla, announced the acquisition of Twitter, with the $44 billion transaction subjected to the confirmation of Twitter stockholders and regulators. Previously, Musk made the point of removal of spam and scam bots, including the ones related to cryptocurrency. 

Moreover, Cointelegraph noted that prior to Twitter’s acquisition, Musk and Zhao had a brief battle on the platform on account of Musk pushing Binance to address Dogecoin withdrawals in the previous year. On October 27, 2022, Musk completed acquisition of social network platform Twitter for $54.2 per share, which brought the total value of the deal close to $44 million, and the company is expected to go private. It is believed that the new owner even fired company’s top executives as part of his starting measures.

(With insights from Cointelegraph)

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