Binance, one of the world’s leading cryptocurrency exchanges, has encountered issues with spot trading on its platform. The exchange suspended all spot trading transactions and paused deposits and withdrawals as a standard operating procedure while it worked to resolve the issue.
According to Binance CEO Changpeng “CZ” Zhao, the issue was due to a bug in the matching engine that was discovered in a trailing stop order. CZ reassured concerned investors and traders that the issue was being resolved, and that their funds were safe.
After about an hour, Binance partly resolved the issue by bringing one of the engines back online, but it still needed more time for reconciliations and for other engines to catch up. However, less than two hours after the initial announcement, Binance completed temporary system maintenance and prepared to resume all trading activity by 2 pm UTC.
CZ argued that the issues were unlikely to have a significant impact on the market, as prices typically do not move much when the biggest exchange halts trading. He also suggested that smaller exchanges that did experience price movement would likely lose money when Binance resumed trading, due to its deeper order book.
Overall, while the issue caused some disruption for traders and investors, Binance’s prompt response and quick resolution helped to mitigate the impact and ensure the safety of users’ funds.