Ethereum creator Vitalik Buterin opened up about Binance Decentralized exchange. In a context of few bitcoiners doubt on Ethereum being a centralized or decentralized cryptocurrency, Vitalik points out at Binance DEX and said: “it’s hardly decentralized”.
Runs on Binance’s native blockchain “Binance Chain, Binance DEX is a decentralized crypto exchange, enabling peer-to-peer trading. Although the exchange is relatively new, it has quickly received massive support from the entire crypto community. In contrast to the new Binance DEX trading platform, Binance itself has been operating as a centralized crypto exchange since 2017 – however, the recent arguments cropped up from the Ethereum boss Vitalik Buterin. In a casual conversation with Lina Seiche who is a marketing director at BTSE, a crypto asset exchange, and futures trading platform, Vitalik says that Binance DEX claims to be a DEX right in the name, but it’s hardly decentralized.
The crux of the matter is that the Ethereum cryptocurrency has been on top bulletins for quite some time with the question mark, demanding “Is Ethereum 100 percent decentralized?”. This being said, the essence of conversation points out to a criticism that notes “Ethereum is decentralized when it clearly isn’t”. To respond to this allegation, Vitalik compares Ethereum’s decentralized debate to Binance’s DEX platform and mocks “Seems like (Binance DEX) is a way better than ethereum, (in terms of centralized version) and went on to say “Ethereum merely has a few governance values that some BTC people don’t like”.
Interestingly, the conversation got the attention of Binance CEO Changpeng Zhao (CZ) who then took to Twitter and responds by adding;
Poor redirection attempt. Focus guys, will let you guys @VitalikButerin @LinaSeiche debate it. While we focus on #buidling.
Following CZ’s response, a crypto influence as well as CSO at Blockstream and CEO at Pixelmatic , Samson Mow remarked that the conversation isn’t about Binance per se. Rather, Lina points out “why Vitalik missed the mark about the reason Bitcoiners attack Ethereum”.
Besides, Nischal Shetty, the CEO of recently acquired Indian exchange WazirX responded to a user on Twitter who goes by the Twitter name “Grinding Poet” challenged the decentralized narrative. The tweet by Grinding Poet criticized “why can’t anyone be a validator? Where is the source code of the Binance chain?” Shetty quickly responds “decentralization is a work in progress” which then made the argument stronger. The twitter account further questioned but remained unaddressed by the officials of Binance until the time of reporting this;
If it isn’t even ready, why even advertise it as such. Decentralization is an inbuilt feature, not a luxury at will. You call it a dex when it is a non-custodial centralized exchange at best.
Image Source – Flickr