Binance experiences operational issues amid market turbulence

By Hannah Perez

Chaos on Binance due to turbulence in the cryptocurrency market. Users report problems amid record liquidations, executives apologize and Crypto.com CEO calls for regulatory investigation.

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• Binance acknowledged that it faced operational issues during the market sell-offs.
• Historic liquidations of nearly USD $20 billion hit the cryptocurrency market.
• Amid user complaints, Binance executives acknowledged the challenges.
• CEO Richard Teng regrets the inconvenience and invites users to contact the platform’s support.
• Co-founder, Yi He, promises to compensate affected users.
• Meanwhile, the CEO of Crypto.com called for an investigation into possible market manipulation.

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The cryptocurrency market is going through historic turbulence, with liquidations of almost $20 billion in 24 hours, possibly the largest such event on record in dollar terms.

President Donald Trump’s announcement to impose a 100% tariff on all Chinese imports starting November 1, in response to Beijing’s new rare earth export restrictions, unleashed chaos. Trump called Chinese policy “a moral wrong” and threatened to cancel a meeting with President Xi Jinping, causing panic in global markets, affecting both cryptocurrencies and traditional stock indices.

Bitcoin subtracted USD $17,000 from its price in one day, falling from more than USD $122,000 to a minimum of USD $105,896, while Ethereum fell 12% and others altcoins as Dogecoin and Cardano They suffered falls of more than 20%. The total crypto market capitalization contracted more than 9%, to USD $3.8 trillion, outpacing past events such as the COVID-19 crash.

Binance faced operational issues

Amid this extreme volatility, platforms like Binance They faced serious operational problems, exacerbating the losses of thousands of users. Reports in Downdetector and users on social networks reported delays in the execution of orders, failures in stop lossincorrect display of balances and charts, latency in API, temporary suspensions of withdrawals and general freezes on the mobile app and website for critical 2 to 4 hours.

Users on X reported cases such as failed orders “system error” that resulted in losses of thousands of dollars, or positions closed selectively, such as one trader who alleged that Binance It liquidated its short position but left its long position open, generating total losses not related to automatic mechanisms. These failures coincided with a high volume of transactions, generating accusations of manipulation and eroding trust in exchanges centralized.

The turbulence also affected several stablecoins. USDe of Ethenathe third largest by market capitalization, temporarily detached from the dollar, falling to USD $0.65 in Binancedriven by negative financing rates and discrepancies in markets.

Other stablecoins such as BNSOL and WBETH also suffered similar decouplings in Binancetriggering chain sell-offs and additional panic. Analysts like Rachael Lucas of BTC Markets warned that these events undermine the credibility of the stablecoinsused for liquidity and collateral, spreading volatility to the ecosystem.

Managers promise to compensate those affected

The directors of Binance They publicly acknowledged the problems. CEO Richard Teng reached out to users at X:

“The last 24 hours have been turbulent for the crypto market, and I know many of you faced challenges on our platform. I am deeply sorry for all those affected. We don’t make excuses: we listen closely, learn from what happened and commit to doing better“Ten wrote, urging users to contact support.

The last 24 hours have been turbulent for the crypto market, and I know many of you faced challenges on our platform. I’m truly sorry to everyone who was impacted.

We don’t make excuses — we listen closely, learn from what happened, and are committed to doing better. If you’re…

— Richard Teng (@_RichardTeng) October 11, 2025

Also the co-founder of BinanceYi He, issued a public apology, pledging to compensate users affected by the platform’s errors. “Due to significant market fluctuations in the last 16 hours and a large influx of users, some have encountered problems in their transactions. I deeply apologize for this.“.

“Those who purchased stripped assets at low prices yesterday earned them by staying up, and we will not claim them. For wealth management users with all three stripped assets bundled together, the process is being handled gradually. For traders with latency losses or liquidations, we will treat each case individually“he added Binance in an update.

Those affected should use their Case ID in support, invited He in his post on X.

Crypto.com CEO calls for investigation

In the midst of the rain of complaints on social networks, the CEO of Crypto.comKris Marszalek, called for a regulatory investigation into the exchanges centralized, suspecting possible market manipulation.

In X, Marszalek urged: “Regulators should review the exchanges with the most liquidations in the last 24 hours. Did any slow down to a stop, preventing trades? “Are all trades priced correctly and in line with indices?”

He questioned fairness, anti-manipulation and compliance practices during the price drop, highlighting that platforms like Hyperliquid, Bybit and Binancewith settlements of USD $10.3 billion, USD $4.6 billion and USD $2.4 billion, respectively, handled the bulk of the volume.

This call highlights vulnerabilities in centralized exchanges to market shocks due to geopolitical events while total 24-hour settlement figures in the cryptocurrency market remain at record levels. Despite this, some cryptocurrencies are showing modest signs of recovery, with Bitcoin about USD $112,000 and USDe returning to its parity of 1 dollar.

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Article written with the help of AI, edited by DailyBitcoin

Edited image from Unsplash

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