Altcoin News: Binance CEO Talks About an “Attempted Attack” on a Futures Exchange

September 16, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

Binance cryptocurrency exchange CEO Changpen Zhao on Twitter this morning reported an attempted attack against his company’s new futures platform.

According to Zhao, a market maker from a smaller futures exchange tried to attack the Binance Futures platform, causing sharp short-term fluctuation in the price of Bitcoin.

At the same time, Zhao claims that not a single user was liquidated, “since we use the index price (not the price of futures) for liquidations (our invention).” It is worth noting that the index price for liquidations has long been used, for example, by the BitMEX exchange, which had previously convicted Binance of plagiarism.

“Their intentions were clear,” Zhao wrote in response to the remark that a one-time sale of a substantial volume of contracts could hardly be considered an attack on the exchange.

According to the analytical platform sk3w, the turnover of the Binance Futures platform over the past day exceeded $210 million, which allowed it to bypass exchanges such as Deribit and CryptoFacilities.

Image credit: sk3w

Later on, Zhao wrote: “Had a chat with the client. It was an accident, due to a bad parameter on their side. Not intentional. All good now.”.

Also today, Binance announced the launch of the fourth phase of the Binance Lending program, which starts on September 18 and will allow users to receive interest payments on lending margin positions on BNB, BTC, ETH, ETC and USDT within 14 days.

Author: Marko Vidrih