For the past two days, Binance had shut down the trading and withdrawals. This extended software upgrade led to panic among crypto investors and rumours of Binance being hacked. The recent Coindesk heist has been the reason behind investors’ jumping onto the conclusions.
After almost 2 days of shutdown, Binance is back
Binance, one of the biggest cryptocurrency exchange of the world, in trading volume which suspended trading for almost two days got back online. Changpeng Zhao commented on his twitter “All engines are back online. Doing a final data validation for pre-trading now. Will update ETA shortly.”
The exchange also confirmed on Twitter that they are back and good to go!
Shutdown led crypto investors into panic mode
Binance had halted the trading and customer withdrawals of funds and had denied any claims of its central server being hacked after a system upgrade.
It all started on Thursday at around 2:20 am GMT, when an official statement was made by the exchange that due to a significant increase in the number of users and trading volume, Binance has to extend the system upgrade that has been already going on for hours earlier. It has also been stated that it is expected the upgrade work will get completed by 2 pm GMT. Also, during this time the trading and withdrawals will remain suspended. However, Binance has to push back their targeted time for the trade resumption to 4 am GMT on Friday.
On February 7, the CEO of Binance, Changpeng Zhao, tweeted that the exchange was experiencing a server error but it could be resolved in a few hours and that no data is lost.
With the rise in the crypto theft recently and the famous Coindesk heist of $500m has led to anxiety among the crypto investors. The Binance downtime that was supposed to last only a few hours has been extended to about two days.
Mr. Zhao tweeted:
“We experienced a server issue on our replica database cluster, causing some data to be out of sync. Need to fully resync from the master. Due to the size of the data, it will take several hours. No data is lost.”
However it seems, all is well now and Binance was not exposed to some kind of cyber attack.
What do you think of this scenario where an extended system upgrade led the crypto investors into the panic mode? What can be done to mitigate such panic ridden scenarios? Let us know below in our comment section below!
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I am an associate content producer for the news section of Coingape. I have previously worked as a freelancer for numerous sites and have covered a dynamic range of topics from sports, finance to economics and politics.