According to ChainCatcher, Binance responded to yesterday's sharp decline in some meme coins like ACT, stating, "After preliminary investigation, we discovered a cascading price drop in some small-cap tokens, including 3 VIP users cross-selling tokens worth approximately 514,000 USDT in the spot market within a short time, and 1 non-VIP user transferring a large amount of ACT from other platforms and selling tokens worth 540,000 USDT in the spot market within a short time.

During the price decline, some users' futures contracts were liquidated, which led to a decline in other tokens. Currently, no single account with significant profits has been found. Since the token is fully circulating in the secondary market, the platform cannot intervene in any user's selling behavior. We will continue to investigate this incident and will synchronize further details if there are updates."

Binance will periodically adjust leverage multiples based on liquidity, market sentiment, and trading volume of all traded currencies. To proactively prevent potential volatility and risks, we have taken preventive measures to reduce leverage multiples. Binance's contracts have recently continuously issued adjustment announcements for the ACTUSDT perpetual contract, during which the market showed no abnormalities and no user's positions were actively reduced. Market makers are an important part of the industry ecosystem, and Binance also provides a comprehensive market maker program to encourage more market makers to join Binance and improve market liquidity.

Given the recent market volatility, to ensure user asset safety and reduce trading risks, Binance will make timely leverage adjustments according to market conditions to avoid systemic risks in the entire trading market. Binance also reminds all users to manage risks accordingly."