Overview
After Trump pardoned Binance’s former CEO CZ, crypto market maker Wintermute denied reports of suing Binance for the October 10 market crash. The event saw Bitcoin plunge 15% to below $103,000. CEO Evgeny Gaevoy took to X (formerly Twitter) to clarify:
“We never had plans to sue Binance, nor see any reason to do it in the future.”
He also called out those spreading “baseless rumors,” joking that most people “have goldfish memory capacity.”
What Sparked the Rumor
Speculation began when an X user named WhalePump Reborn alleged that Wintermute was seeking reimbursement for losses tied to Binance’s auto-deleveraging mechanism. The post claimed that Binance disagreed with the supposed compensation amount, but Gaevoy quickly shut that down, saying:
“What a larp, all complete bullshit.”
Wintermute CEO @EvgenyGaevoy on how they got ADL’d on Binance and predicts lawsuits and challenges from trading firms. pic.twitter.com/d2hGXoOOHc
— cryptotesters (@cryptotesters) October 20, 2025
Wintermute, a major liquidity provider on Binance, reportedly saw its exposure affected during the flash crash, which followed U.S. President Donald Trump’s tariff announcement. The topic gained further traction after President Trump signed a pardon on Wednesday for crypto executive Changpeng Zhao, aka CZ, on October 22, 2025.
CZ Urges Users to Verify News
With regards to the Wintermute situation, Former Binance CEO Zhao also addressed the situation, advising his 10.4 million followers to rely only on official sources for updates. His statement came after several crypto influencers amplified the false rumor, contributing to a wave of fear, uncertainty, and doubt (FUD) across the market.
Also read: Binance Price Prediction
Market Reaction
Despite the clarification, the crypto market fell 3% on 3rd November, dropping to $3.65 trillion in total value. Analysts attributed part of the dip to $1.3 billion in leveraged liquidations within 24 hours and to ongoing sell-offs by Bitcoin OG whales, even with prices holding above $100,000.
Related read: How to Use Leverage in Crypto Trading?
Conclusion
No lawsuit. No feud. Just rumors. Wintermute remains one of the key players maintaining liquidity and stability in the digital asset market, while the broader market continues to grapple with volatility and social media-fueled misinformation.
