Recent withdrawals exceeding 9,000 BTC from Binance sparked debate after a reported flash-crash episode, prompting scrutiny across the crypto community.

Sequence that triggered concern

The controversy followed coverage of a flash crash occurring on 10–11 October and Binance’s subsequent defense attributing the incident to Ethereum architecture and macro factors.

OKX’s chief executive publicly challenged that account, posting a message alleging an orchestrated scheme connected to $USDe and questioning the reported timeline.

“$BTC reached its low 30 minutes before the anomaly with $USDe. The chronology therefore breaks, since $BTC fell first.”

Reported facts versus circulating FUD

Withdrawal delays were reported during the event, and Binance states those issues were resolved within an hour after the peak of the disruption.

A popular X account with around 860,000 followers, claiming to be an ex-BNB CRO, published fabricated images with CZ and said they were closing their account; those images were later exposed as fake.

On buybacks and reserves

Questions arose about an alleged pledge to repurchase $1 B in bitcoin, while Binance’s SAFU fund actually acquired 2,630 BTC for approximately $201 M over two days.

CZ commented that he has become less confident in a rapid market supercycle, a statement which some participants interpreted as more decisive retreat than intended.

Market reaction and context

As prices fall, retail participants increasingly seek explanations and attribute blame, while capital availability among smaller traders diminishes and volatility grows.

Binance maintains that reserves and SAFU operations remain functional and that withdrawal processing has been restored to normal speeds.