Binance responds to ACT flash crash: It was caused by concentrated selling by large investors, no manipulation was found

Odaily Planet Daily News Binance official account @BinanceHelpDesk responded to users on the X platform. According to the announcement, the incident was mainly caused by three VIP users who sold tokens worth about $514,000 in the spot market, and a non-VIP user who transferred from an external platform and quickly sold ACT tokens worth $540,000. The related selling behavior triggered the forced liquidation of some futures contracts and caused a chain reaction in the market. Binance said that after investigation, no single account was found to have made large profits through the incident. Since all the relevant tokens have been circulated in the secondary market, the platform cannot interfere with normal market trading behavior. In order to prevent risks, Binance has recently proactively lowered the leverage multiples of the ACT/USDT perpetual contract, and emphasized that it will continue to improve market liquidity through the market maker program. Earlier news, ACT's short-term flash crash of 50% caused heated discussions in the community.