Binance Co-CEO Breaks Silence, Provides Insight On | Crypto News
Binance is pushing back against claims that it performed a central position in the large liquidation wave that swept through crypto markets on October 10, an event widely described as the biggest in the industry’s historical past.
In the aftermath of roughly $19 billion in wiped‑out positions, some market individuals accused the exchange of manipulating costs for its own gain.
Binance co‑CEO Richard Teng has now addressed those allegations instantly, insisting the platform was not “the sole trigger” of the turmoil and that the selloff hit the whole digital asset ecosystem.
Binance Co-CEO Breaks Down $19B Liquidation Event
Speaking about the incident, Teng said the sharp downturn was not remoted to Binance. Both centralized and decentralized exchanges skilled comparable spikes in liquidations at the same time, he famous. According to him, intense promoting stress emerged across trading venues as volatility surged.
Teng attributed the market shock to exterior forces quite than inner exchange exercise. He pointed to a combine of macroeconomic and geopolitical developments, including new US tariffs on China and broader uncertainty in global financial markets.
These elements, mixed with extremely leveraged positions across crypto derivatives markets, created what he described as a “classic leverage flush.”
Teng drew comparisons to conventional markets, noting that US equities misplaced $1.5 trillion in worth on the same day, with about $150 billion in liquidations occurring in equities alone. By distinction, the crypto market—considerably smaller in measurement—noticed $19 billion in compelled place closures, unfold across all major exchanges.
While acknowledging that many customers suffered losses, Teng said Binance took steps to assist affected clients, including that other exchanges didn’t implement comparable measures. He also careworn that there have been no indicators of irregular mass withdrawals from Binance during the episode.
According to the company, there have been no indications of inner technical failures or systemic weaknesses. The price motion, Teng argued, was pushed by exogenous market forces quite than any exchange‑particular issue.
SAFU Fund Hits $1 Billion In BTC
Despite the volatility, Teng struck a cautiously optimistic tone about the broader trajectory of digital belongings. He said institutional traders continue to allocate capital to the sector, describing their participation as evidence that “smart investors are putting money to work.”
While retail demand has softened in contrast to last yr, he said investment from establishments and companies stays resilient. In his view, the long‑time period development of the industry must be judged by its fundamentals quite than short‑time period price swings.
Alongside its feedback on the liquidation event, the exchange announced it has accomplished a beforehand outlined $1 billion Bitcoin buy plan for its Secure Asset Fund for Users (SAFU).
The exchange acquired 4,545 BTC price roughly $304.58 million, bringing the reserve pockets’s complete holdings to 15,000 BTC, at the moment valued at about $1.005 billion.
Binance also said that if the fund’s worth falls below $800 million due to market declines or legal bills, it can robotically replenish the steadiness back to $1 billion.
At the time of writing, the exchange’s native token, BNB, is trading at $605. It has registered losses of 5% and 29% over the last seven and fourteen days, respectively.
Featured image from OpenArt, chart from TradingView.com
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