We should all remember that literally no company is “Too big to fail“, not even Binance or Coinbase. Don‘t bet too much on them.

With the many SEC lawsuits being filed and further regulators from all round the world like EU or Canada getting ready to ban multiple exchanges or at least some of their services like staking, the reception to those moves is quite controversial. Some do actually accept that those are risky players, but many other are also just calling all of those “FUD“.

Not only is the word FUD being used here in an inappropriate way and basically just to delegitimise legit concerns, many are even hoping for those exchanges to not fall as it would cause the prices of their Crypto assets to fall too. Here I would like to remind you that it is much more important to have a solid foundation of Crypto instead of a bunch of unsustainable and probably even fraud businesses.

The main argument for there being visually no way for Binance, Coinbase or even the likes of USDT to ever fail seems to be the general assumption of “Too big to fail“. That is simply not true and one of the main reasons many of us lost billions in the scams of FTX, Celsius and LUNA last year. Nothing, literally nothing, is too big to fail.

Even companies lie JP Morgan, that run a big part of the whole US, could fail. Them being bailed out is anotehr thing, but for Crypto you have no entity being ready to bail-out a billion-dollar exchange like Binance.