Today, in response to Buterin’s provocative comments, Binance CEO Changpeng “CZ” Zhao released a statement defending the current state of exchange centralization and prompting Buterin to have a bigger heart.
Got asked a few times, re: “Vitalik’s burn in hell”.
Let’s not wish others to "burn in hell". Let’s have a bigger heart, and appreciate the fact that we are part of an eco-system… pic.twitter.com/4QYGKus0Gk
— CZ (not giving crypto away) (@cz_binance) July 10, 2018
In his response, CZ lists the current limitations of decentralized systems that ultimately make fiat-based, centralized exchanges an integral element in the crypto ecosystem. CZ believes that without centralized exchange, all coins would have less liquidity and value, and the industry would be smaller and slower developing.
He also emphasizes that decentralization is something to strive towards, and not necessarily an end goal to use as a gauge of current platforms and services. CZ believes that centralization of certain elements of the ecosystem is currently the best tool for mass adoption of digital currencies.
While many argue the main downside of centralized exchanges is the security risk, a recent hacking event of the Bancor protocol shows that these systems are equally susceptible to compromise.
CZ concludes his statement with some choice words of his own for Buterin’s own work, citing his current status as a prime example of centralization.
“Today, Vitalik has more king-like powers than anyone in the industry, and he has used it…”
More: CZ’s Full Response
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.