Binance recently tweeted about the abnormal price movements taking place on the exchange. The platform admitted that some trading pairs have been moving abnormally in the past several days.
However, the company CEO believes the activity to be standard market behavior. On the other hand, Binance has promised that these movements were not related to the leaked API keys or compromised accounts.
Nonetheless, the exchange would investigate the matter, promising to take appropriate actions against every suspicious account. Currently, the Binance team has noticed such movements with assets, including:-
As per Changpeng Zhao, the behavior was triggered by one account depositing funds in a trading account. Afterward, the user started purchasing several coins, followed by the masses.
Even then, Binance temporarily stopped associated accounts from trading to maintain security. The decision was soon taken back after the exchange received mass complaints from users, added Zhao.
The CEO stated that they are aware of “too much intervention,” especially for a decentralized exchange. There needs to be a balance, and letting some situations play out is sometimes worth it.
As for the leaked API keys, one Binance user informed the platform about an account being breached using an API created two years ago. The API Is utilized to conduct trades on several low-capital coins, pushing their prices for profit.
While the user was upset about Binance not taking prompt action, Zhao stated that the situation did not account for any refunds. ” Zhao, ” said users should be careful with their API keys and their security. With the market being furious about the FTX situation, such activities can lead to severe repercussions.