Binance co-founder Changpeng Zhao (CZ), in a X post, clarifies Binance’s Giggle fund token donation plan. This comes in as lots of confusion emerged among the community that sent the GIGGLE coin tumbling. An online dispute has turned a reportedly educational project into one of the week’s strangest crypto stories.
CZ has already distanced himself from the viral GIGGLE meme coin. He made it clear that the token is not officially affiliated with his non-profit Giggle Academy. However, Binance’s BNB had also been dealing with high selling pressure. BNB price dipped by 18% over the last 7 days.
CZ defends Giggle fund donation model
In a series of posts, Zhao explained that the Giggle Fund Token smart contract donates BNB directly to the public donation address of Giggle Academy. He mentioned that it is designed by the community, not by Binance.
According to CZ, Binance proposed donating part of its trading fees in the form of Giggle Fund Tokens. This setup will let the Academy burn half of the tokens it receives and then convert the rest into BNB. He addressed community questions about why a charity would burn donations, too. CZ stated that the transaction and funds are strictly between the two parties (Binance as donor and Giggle Academy as recipient).
Giggle Academy also issued an official statement. It tried to clarify that the platform has no official connection to the Giggle Fund Token or its issuance. It even described the coin as a meme coin initiated by community members, not by Giggle Academy or CZ. It added that all income and expenses will be transparently disclosed on a public donation page.
The statement also confirmed that Binance might plan to donate 50% of transaction fees from the Giggle Fund Token. This move has drawn widespread attention from users. To reciprocate, the academy said it would burn 50% of any Giggle-related transaction fees it receives from the exchange. Meanwhile, the group has pointed out that it has no plans to issue its own token. It wants to remain focused solely on free education and charity work.
Whales burned as GIGGLE meme coin crashes
Binance co-founder launched the nonprofit venture in 2024 to provide free education worldwide. Meanwhile, the platform is still under development. Recently, a meme coin inspired by the project took on a life of its own. The token initially spiked by more than 300% following its debut on Binance. However, it quickly plunged by over 30% on Monday after CZ publicly denied any link to its creation.
“The $GIGGLE meme coin is NOT an official coin launched by Giggle Academy,” CZ posted on X. “I don’t know who launched it.”
On-chain data shows that whales were behind the massive surge. One whale wallet reportedly spent 1.2 million USDT to purchase nearly 4,800 tokens. This purchase came at an average of $251 each. This buy is now worth less than $1 million after the price collapse. GIGGLE is trading at an average price of $80.97 at the press time. Its 24-hour trading volume jumped by 106% to stand at $179 million. GIGGLE managed to recover by 37% over the last 24 hours.
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Source: https://www.cryptopolitan.com/cz-clarifies-binances-giggle-fund-token-donation-plan/
