Binance has announced plans to compensate users affected by market volatility, which caused several tokens, including USDe, BNSOL, and WBETH, to temporarily depeg from their expected values.
The incident, which occurred between 21:36 UTC and 22:16 UTC on October 10, triggered sudden liquidations and collateral shortfalls across multiple Binance trading products, including Futures, Margin, and Loan positions. Binance confirmed that the instability stemmed from abnormal market movements and index price distortions, resulting in sharp deviations in asset pricing.
In a statement shared on X (formerly Twitter), Yi He, Binance Co-Founder and Chief Customer Service Officer, apologised to affected users, writing:
“We will compensate all impacted users who suffered losses due to the depeg event. We don’t make excuses, we take responsibility.”
Binance CEO Richard Teng echoed her sentiments in a follow-up post, saying:
“I’m truly sorry to everyone who was impacted. We don’t make excuses, we listen closely, learn from what happened, and are committed to doing better.”
According to Binance’s official announcement, eligible users will automatically receive reimbursements within 72 hours, with compensation based on the difference between the liquidation price and the token’s market value at 00:00 UTC on October 11. The exchange emphasised that only losses directly caused by Binance-related factors, not general market volatility or unrealised profits, will qualify.
The affected tokens play a crucial role in the Web3 economy: USDe serves as a decentralised stablecoin, BNSOL represents Binance’s Solana liquid-staking token, and WBETH is a wrapped version of staked Ethereum. Their temporary depegs highlight the structural fragility of pegged assets during high-volatility periods.
Binance stated it will strengthen its risk-control mechanisms, revise index-price calculations, and improve transparency. As crypto adoption deepens across Africa, the event underscores the importance of robust risk management and user protection in centralised exchanges.
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