Key takeaways
Why are the rumor mills so sure that Wintermute can explode?
The claims arose during the sudden accident and have persisted since.
What’s next for the cryptocurrency market?
Some, like the CEO of DeFiance, believe more transparency is needed to avoid similar mishaps in the future.
Cryptocurrency market maker Wintermute has distanced itself from claims that it is preparing a lawsuit against binance [BNB] after the sudden accident on October 10.
In an X (formerly Twitter) mailThe company’s CEO, Evgeny Gaevoy, dismissed the rumours, adding that the company was solvent and did not go bankrupt during the crisis.
“We never had any plans to sue Binance, nor did we see any reason to do so in the future.”
Source: X
Gaevoy too denied claims that the company reached out to other market makers to build the case against Binance.
Wintermute was widely rumored to have been severely affected by the sudden accident, which was supposedly intensified due to takeoff on the Binance exchange.
To calm the chaos, the exchange doled out more than $700 million in refunds to victims. However, some criticized the measure and questioned: “If you didn’t do it, why pay?” Is it guilt or genuine generosity?
CZ ignores lawsuit claims
For Binance, the situation occurred due to an “internal failure”; However, he attributed the drop to macroeconomic factors, citing the tariff update between China and the United States.
At the time, Mr. Changpeng Zhao (CZ), founder of Binance, also dismissed those who criticized the refunds, adding that they “protect users.”
The latest claims about Wintermute’s planned Binance lawsuit were first posted by a pseudonymous user, whale bomb. According to him, the market maker incurred hundreds of millions of dollars during the crisis and was prepared for a legal solution.
“Wintermute is suing Binance. And they’re not the only ones who got rekt… I have all the names of who’s about to blow up. It’s not going to be pretty.”
In his typical response, CZ he shrugged of the claims, calling them FUD. He aggregate,
“There are a lot of random FUDs in the market. People are hurting, nervous and anxious. Whales pounce on them, spread more FUD and profit from it.”
Calls for transparency increase
Some funds have called for greater transparency and for Binance to accept legal responsibility for the crash.
Arthur Cheung, CEO of DeFiance Capital, noted that the case of October 10 could be a decisive moment for the sector.
“The October 10 case could become a landmark test of whether cryptocurrency exchanges owe a duty of care comparable to that of traditional markets. Users should not assume they are powerless: legal and reputational dynamics can change quickly once the facts come to light.”
It remains to be seen if the facts of the accident will ever be revealed. However, after the crisis, the market has sour at a level comparable to that of the tariff war of early 2025.
Source: Alternative Self
