Binance Halts Spot Trading Due to Technical Issue
On the evening of March 24, Binance announced via Twitter that it had encountered a technical issue affecting spot trading. As a result, all spot trading was temporarily suspended to resolve the problem promptly.
"We are aware of an issue impacting spot trading on Binance. All spot trading is currently temporarily suspended as we work to resolve this as soon as possible. New updates will be shared here."
— Binance (@binance)
CZ's Response: Bug in Matching Engine
Binance CEO Changpeng Zhao (CZ) provided further details, explaining that preliminary analysis indicated a bug in the matching engine related to trailing stop orders. He estimated a resolution timeframe of 30–120 minutes. During the outage, deposits and withdrawals were also paused, though CZ assured users that funds remained secure (SAFU).
👉 Follow live updates on Binance's status here
Trading Resumes at 10 PM
By approximately 9:40 PM, Binance confirmed that orders could be canceled, with full spot trading resuming at 10 PM. However, trailing stop orders were canceled, and affected users received notifications via email.
Coinbase Briefly Becomes Largest Bitcoin Spot Market
With Binance’s spot trading halted, Coinbase temporarily emerged as the largest Bitcoin spot market. Typically, Binance dominates Bitcoin spot trading volume (14.42%), followed by Coinbase (3.13%).
Price Impact
During the suspension:
- Coinbase’s BTC price dropped to $27,651.
- Binance’s BTC price froze at $28,080.
Binance Dispels Rumors
Binance addressed rumors circulating in Chinese communities, clarifying claims of "platform exploits during maintenance." The exchange confirmed:
- No discrepancies were found in account audits.
- Investigations were launched against rumor spreaders.
Example of False Claims Circulating Online:
"Users can exploit system maintenance to illegitimately gain assets."
FAQ
1. Why did Binance suspend spot trading?
A technical bug in the matching engine (related to trailing stop orders) prompted the temporary halt.
2. How long was trading paused?
Approximately 2.5 hours (7:38 PM – 10:00 PM).
3. Did the outage affect BTC prices?
Yes—Coinbase’s BTC price dipped briefly during Binance’s suspension.
4. Were funds at risk?
No. Binance confirmed all user funds remained SAFU.
5. What’s next for Binance’s trading engine?
CZ stated post-recovery optimizations would prevent similar issues.
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Key Takeaways
- Transparency matters: Binance provided real-time updates during the outage.
- Market volatility: Dominant exchanges like Binance impact prices during disruptions.
- Security first: Funds were never compromised.
Always conduct independent research before investing in cryptocurrencies.