On May 4, Elon Musk, being the sole owner of Twitter after his $44 billion acquisition, filed an amendment to Schedule 13D under the Securities Exchange Act of 1934.
According to this filing, Twitter received $7.139 billion worth of financing commitments coming from 18 co-investors.
The Crypto Twitter Conversation Gets Larger
Although it hasn’t been announced yet what terms these contributions were made on, the equity commitment letters received by Elon Musk did highlight the conditions set forth for the contribution.
The 18 “Equity Investors” included some major players in the crypto and financial space, including the likes of Fidelity Management, Sequoia Capital, Strauss capital, and Binance.
The world’s biggest cryptocurrency exchange was responsible for the commitment of $500 million towards Twitter, whereas Lawrence J. Ellison Revocable Trust made the largest commitment of $1 billion.
The Founder and Chief Executive Officer of Binance, Changpeng Zhao, called this “A small contribution to the cause.”
Elon’s plans to improve Twitter have been in motion since his takeover, and the world’s richest man has already deployed a fix for the spambots on the Twitter mobile application by adding a downvote button. This has been a problem Elon has fixated upon for a long time.
If our twitter bid succeeds, we will defeat the spam bots or die trying!
— Elon Musk (@elonmusk) April 21, 2022
And now, with the force of Binance backing Elon, his Twitter improvement goals could be achieved much quicker.
Binance Price Hits the Right Notes
Binance knows how to seize the right opportunity, which is why the cryptocurrency exchange invested in Twitter. Being ahead has been a prime focus for Binance, reflected in their most recent achievement.
Earlier yesterday, Binance became the first fully regulated digital asset service provider in Europe after receiving approval to operate in France, strengthening its position as an industry leader.
However, while the exchange is making strides on the developmental front, it disappoints its supporters on the investment front. Binance’s native token, Binance Coin (BNB), has been performing terribly on the charts.
While many altcoins in the crypto market marked a new all-time high either in November 2021 or February 2022, BNB hasn’t been able to do so in over a year now. Last touching the ATH of $704.6 in May 2021, BNB is over 90% away from ever breaching the ceiling. And with the 18.5% plunge noted this month, the difference only continues to grow.
Trading at $372, BNB has plummeted by over 7.2% in the last 24 hours as the broader market dipped, further concerning investors about their holdings.
Put simply, while Binance has a firm hold on the worldwide user base, it may be losing its grip on investor confidence.
With other options, such as Terra, Avalanche, Solana, etc., noting prominence over the last couple of months, the threat of its investors deserting for one of the other altcoins continues to loom over Binance.