Binance Suspends Spot Trading
• Binance tweeted that it knew of an issue impacting spot trading and said it was working to resolve it soon.
• The crypto exchange suspended withdrawals and deposits for all crypto assets on its platform.
• Binance CEO Changpeng ‚CZ‘ Zhao assured users that their funds were safe and expects the recovery to take between 30 minutes to two hours.
Binance announced they experienced a bug on a trailing stop order, causing them to temporarily suspend spot trading on their platform. Binance CEO Changpeng ‘CZ’ Zhao described the issue as a „weird one“ and said that deposits and withdrawals had been paused as a standard operating procedure. He reassured users that their funds were safe, and expects the recovery time to be between 30 minutes to two hours.
The news of the bug caused Bitcoin (BTC) prices to plunge 1.39% on the 1-hour candle, dropping from $27,635 according to CryptoSlate data.
Binance has safety protocols in place which are activated when issues arise such as suspending withdrawals and deposits for all crypto assets on its platform as well as reassuring users that their funds are safe. However, this did not prevent the price drop of Bitcoin (BTC).
In conclusion, while Binance has safety protocols in place, these did not prevent Bitcoin prices from dropping due to a bug found in its system. The issue is expected to be resolved shortly within 30 minutes up until 2 hours according to CZ’s statements, yet still may have caused some losses for holders of BTC during this time period.