Binance Founder: Responded to Misinformation

In recent times, the turbulence in the cryptocurrency market continues to attract the attention of investors. The sharp declines in the prices of Bitcoin and Ethereum due to the market crash have led to many speculations. During this process, the situation of the popular cryptocurrency exchange platform Binance is also on the agenda.

Binance Co-Founder Yi He categorically denied recent rumors. Following the sudden price drops recorded over the weekend, claims spread quickly on social media that Binance was collapsing, that depeg events were the cause of this collapse, and that unfair liquidations were taking place. Yi He emphasized that these news reports do not reflect the truth and stated that "the facts are different."

Yi He expressed that the platform's futures, spot, and API systems did not collapse, and that all trading engines functioned stably during the downturn. According to data, he stated that the mandatory liquidation rates remained at normal levels and that this decline was entirely market-driven. On the other hand, he also rejected claims that depeg events caused the collapse. Yi He explained that the price drop occurred before the depeg events and announced that Binance paid over 283 million dollars in compensation to affected users within 24 hours during this process.

Additionally, Yi He clarified the issue of "liquidation due to extreme price spikes," highlighting Binance's "mark price" system. Thanks to this mechanism, abnormal price movements are excluded from liquidation calculations, preventing users from experiencing unfair losses. While accepting that there were brief technical delays, he conveyed a message of transparency by stating, "We are not hiding anything; all records are available in the system."

Finally, Yi He issued an important warning to investors, saying, "Do not engage in leveraged trading without fully understanding the risks. You can always trust Binance." It was once again emphasized that investors should conduct their transactions in a conscious and cautious manner, paying attention to the volatile movements inherent in the cryptocurrency market.