Binance Responds to Market Fluctuation: Confirms System is Operating Normally, Has Completed $283 Million User Compensation

According to Mars Finance, Binance has issued an announcement in response to the severe market fluctuations caused by global macro events from 04:50 to 06:00 Beijing time on October 11. The official stated that the overall crypto market sharply declined due to concentrated selling by institutions and retail investors. Binance has confirmed through a comprehensive review that the core contract and spot matching engine as well as API trading remained normal throughout the period, with only a few modules experiencing brief technical failures after 05:18 Beijing time on October 11, leading to some assets becoming unpegged. For users affected by this, Binance has completed compensation within 24 hours of the incident, amounting to approximately 283 million USD, primarily covering liquidation losses of collateral due to the unpegging of USDE, BNSOL, and WBETH. Additionally, Binance will provide compensation for users who suffered losses due to delays in internal transfers and the redemption of Earn products. Regarding the extreme low prices for certain spot trading pairs, Binance explained that it was mainly caused by historical limit orders being triggered under one-sided liquidity and issues with UI display accuracy, and not a system error. The official has promised to further optimize the interface display and liquidity mechanism, and will continue to publicly update on the compensation progress. Binance reminds users that the current crypto market is highly volatile, and trading should maintain risk control and reasonable position allocation.