Binance Pledges Compensation After Historic Crypto Market Volatility
Widespread "floor collapse" incident during violent fluctuations
On October 10–11 , the cryptocurrency market fell into chaos as more than $19.3 billion in leveraged positions were liquidated , affecting more than 1 million global traders .
The surge in transactions exceeded the processing capacity of many major exchanges, with Binance being hit hardest, suffering losses of about $2.3 billion.
The exchange's system is experiencing order delays, API congestion and display errors, especially in Staking products, stablecoins and Futures Contract.
Binance's BNB coin also lost nearly 10% of its value in just a few hours.
Binance apologizes and promises to compensate affected users
After the market stabilized, co-founder Yi He posted a public apology on X, pledging to compensate users who suffered losses due to system errors , but not including “ personal losses due to price fluctuations or unfulfilled profits .”
CEO Richard Teng also sent a heartfelt message: “We don’t make excuses — we listen, we learn, and we’re committed to doing better. If you’re still having issues, please reach out to Binance support. Each case will be handled carefully and compensation will be provided where appropriate.”
He also stressed that volatility is an inevitable part of the market , advising users to be cautious and stay informed.
How do other exchanges react?
While Binance has taken responsibility and promised compensation, other exchanges have remained silent . OKX CEO claims their system “operates stably globally,” but many traders have disputed this, accusing Centralized Exchange of market manipulation and calling for investigations and even lawsuits.
Some famous people like Arthur Hayes and CEO Crypto.com also believes that there is a need for management agencies intervene to clarify the real reasons behind this collapse.
Source: Cryptocurrency Blog
