In the aftermath of a major market crash, Binance investors and traders are demanding compensation for their losses due to untimely technical issues on the exchange.
At 2:00 AM UTC on the 14th of November, Binance underwent a scheduled system update. These system updates happen often and are nothing out of the ordinary. Binance soon announced that their maintenance was complete, and trading was set to resume at 9 AM UTC.
Unfortunately, after the reopening of trading, a tsunami of tweets informed Binance that their systems were failing. People were getting constantly kicked out the exchanges and could not see their sell or buy orders on the platform. Binance quickly responded that there was a “balance synchronization issue” and warned people not to place their orders multiple times. Yet, as expected, confused people placed accidental orders due to the historical order delays.
@binance I have a position in XRP but not able to liquidate it. When I try I get notice that I do not have a position.— Peter Brandt (@PeterLBrandt) November 14, 2018
To compound the problems, the Binance problems coincided with a major market crash where more than $20 billion was wiped off the market within several hours. Desperate investors and traders tried to convert their cryptocurrencies into stablecoins on Binance but struggled with the system problems.
Beloved CEO of Binance, CZ, apologized on Twitter for the technical problems. He revealed the source of the problems and expressed intent for future caution.
We apologize for the delays in data syncing that occurred earlier. It was caused by a locking mechanism that only showed slowness in distributed-heavy load. It is fixed, and we have a post mortem to test/detect for this in the future. As always, thank you for your support!— CZ Binance (@cz_binance) November 15, 2018
However, many were not satisfied with an apology. Many investors and traders who had lost money remain enraged and blame their losses on Binance. Thus, many are demanding compensation for their losses.
Yup, just when you think binance is the one exchange you can trust, they pull off this disgusting stunt with NO COMPENSATION— Petty (@Petty40074636) November 15, 2018