• Binance, the world’s largest crypto exchange by trading volume, halted spot trading due to a matching engine glitch on March 24.
• The CEO of Binance said that deposits and withdrawals had to be paused as part of their standard operating procedure (SOP).
• The issue was identified and the matching engine was restarted, but the reconciliations and engine sync-ups would still require time.
Binance Halts Spot Trading Due To Glitch
Binance, the world’s largest cryptocurrency exchange by trading volume, earlier today, on March 24, temporarily halted spot trading due to a matching engine glitch that disrupted the platform.
Bug Detected Withdrawal And Depositing Halted
The CEO of Binance, Changpeng Zhao, popularly known as “CZ,” said they detected a bug during an analysis of a trailing stop order recovery. As a result, the exchange temporarily had to pause deposits and withdrawals, saying the decision was also part of their standard operating procedure (SOP).
Crypto Spot Trading Explained
Crypto spot traders buy or sell assets without using leverage positions. That means users can directly swap crypto or fiat for other crypto assets and vice versa. Spot trading is distinct from derivatives trading, where traders can open Bitcoin or BNB positions, for example, using leverage or borrowing money from the exchange for a bigger risk.
Issue Identified & Matching Engine Restarted
After identifying the issue with Engine 1, Binance restarted it. However, the reconciliations and engine sync-ups would require time, as the bug occurred 57 minutes after the hourly snapshots. The Binance CEO further noted that the platform had achieved 100% uptime in 2022. In the future, the Binance team will run pre-trading tests. Even so