Traders are expressing outrage over the recent liquidation of $3.9 million in meme coin positions on Binance after the price of the token Act I: The AI Prophecy (ACT) plummeted 55% in less than an hour. This rapid decrease triggered a surge in liquidations, leading users to pledge a boycott of the exchange, exacerbated by concerns that Binance had doubled the collateral required for leveraged trading. In addition to Binance, other exchanges like Bybit and OKX experienced significant liquidations as well. Although Binance attributed the price drop to four major sell orders, the rapid decline prompted social media campaigns advocating for users to withdraw their assets and stop trading on the platform. Despite the turmoil and petitions for a boycott, Binance continued to maintain a dominant market position, processing over $16.3 billion in trading volume recently. The unrest around Binance appears to stem from a perceived pattern of listing low-quality tokens and inadequate safeguards against market volatility.

Source đź”—