CZ: No system can maintain 100% uptime. All affected users have been duly compensated by Binance.

BlockBeats News, January 31st, Binance founder CZ spoke in an AMA response to recent market FUD, saying:

“Some people complained that a system issue may have caused the sharp drop. As far as I know, there were indeed some systemic performance issues during peak hours. I believe all users affected by this have already been properly compensated by Binance.

Binance has gone above and beyond in taking care of users. At the same time, it is also important to understand that no technology in this world can guarantee that it will never have issues. I do not believe any website, any exchange can guarantee 100% uptime. The internet may go down, Cloudflare may have issues, sometimes even X (Twitter) goes down, other platforms may fail as well. If your trading strategy is built on the assumption that all these things will always work flawlessly, then any weakness in any link will cause you losses, which likely means you are taking on too much risk. Although the user terms clearly state that such situations may occur and the platform is not liable, I believe Binance has done a very good job in compensating for the losses incurred, even though it was not obligated to do so.

Furthermore, there are many people who clearly have no connection to those minor system issues, yet want to claim losses because of them. From what I understand, only a small portion of users had a traceable issue with their account balances not updating. But many other users, whose losses were unrelated, also want to file claims against these issues. Moreover, a large group of people claim that the entire October 10th crash was entirely caused by Binance and demand compensation for everything. This is equally unreasonable.”