🚨 Rumors are swirling that Wintermute, one of crypto’s largest market makers, is preparing to sue Binance over losses from the October 10 crash and could be the reason for today’s Bitcoin price action.
The flash crash wiped out $600B in crypto value in 30 minutes, triggering 1.7M forced liquidations and marking the largest single-day liquidation event in crypto history.
Wintermute’s CEO Evgeny Gaevoy says the firm was Auto-DeLeveraged (ADL’d) at “completely ridiculous prices” on Binance and other exchanges, and is now evaluating legal options.
Binance has acknowledged system overloads and massive ADL triggers, but denied any internal errors or preferential treatment.
It spent $188M from its insurance fund and refunded $283M for oracle depegs, excluding ADL losses.
Wintermute’s tracked wallets dropped from $637M to $572M (–12%) after the crash.
Video below of Wintermute CEO Evgeny Gaevoy on how they got ADL’d on Binance and his prediction of lawsuits and challenges from trading firms.
