Binance responds to market volatility: confirms system is operating normally, has completed $283 million in user compensation

ChainCatcher news, Binance issued a statement in response to the market volatility triggered by global macro events from 04:50 to 06:00 Beijing time on October 11. The official statement indicated that the overall crypto market experienced a sharp decline due to concentrated sell-offs by institutions and retail investors. Binance confirmed after a thorough review that the core contract and spot matching engine and API trading remained normal, with only some modules experiencing brief technical issues after 05:18 Beijing time on October 11, leading to certain assets becoming unpegged.

For users affected by this incident, Binance has completed compensation within 24 hours, amounting to approximately $283 million, primarily covering collateral liquidation losses caused by the unpegging of USDE, BNSOL, and WBETH. Additionally, Binance will provide compensation to users who suffered losses due to delays in internal transfers and Earn product redemptions.

Regarding the extreme low prices observed in certain spot trading pairs, Binance explained that this was mainly caused by historical limit orders being triggered under one-sided liquidity, UI display precision issues, and other reasons, rather than a system error. The official commitment is to further optimize the interface display and liquidity mechanisms, and to continuously provide updates on compensation progress.

Binance reminds users that the current crypto market is highly volatile, and trading should maintain risk control and reasonable position allocation.