Wintermute CEO Evgeny Gaevoy has put an end to widespread rumors suggesting that the prominent market maker intends to sue Binance following last month’s major crypto market crash. Gaevoy made it clear that Wintermute has no plans to pursue legal action against the world’s largest cryptocurrency exchange — now or in the future.
The clarification follows a week of intense speculation on social media, where several unverified posts claimed that Wintermute was coordinating with other trading firms to seek compensation from Binance for alleged losses during the October 10 market crash.
Evgeny Gaevoy dismissed all claims of legal coordination as “baseless,” urging the crypto community to stop spreading misinformation. He emphasized that Wintermute had no reason to take Binance to court and labeled the circulating claims as unfounded.
In a direct post on X (formerly Twitter), Gaevoy said, “I should probably make a note of all the people spreading baseless rumors, but most of them have goldfish memory capacity, so I won’t.”
The CEO clarified that Wintermute was not part of any negotiation or non-disclosure agreement (NDA) with Binance regarding losses from the October 10 event.
The market crash that took place on October 10 remains one of the most dramatic events in 2025’s crypto landscape. Bitcoin plunged to nearly $105,000, while several altcoins saw double-digit losses. Market analysts attributed the flash crash to technical issues in Binance’s Unified Account margin system.
According to reports, the malfunction led to the temporary depegging of major assets like USDe, wBETH, and BNSOL, which triggered a chain reaction of liquidations across trading platforms.
Wintermute, one of the largest liquidity providers in crypto, reportedly had over $700 million stored in Binance’s hot wallet before the crash occurred. This positioning placed the firm in the center of controversy, with many speculating about potential losses and legal action.
However, Gaevoy’s recent comments have made it clear that such assumptions were overblown.
Binance founder Changpeng Zhao (CZ) also stepped in to address the growing rumors, describing the situation as another round of “FUD” — fear, uncertainty, and doubt — targeting both his platform and the wider crypto industry.
CZ responded directly to Gaevoy’s clarification, acknowledging the intense pressure and misinformation spreading throughout the market.
“There’s a lot of FUD in the crypto space right now. People are anxious, whales are exploiting it, spreading more FUD, and cashing in on it,” CZ said. “Always verify with official sources before believing anything online.”
Despite attempts to restore calm, the broader market has yet to fully recover from the effects of the October crash. Bitcoin remains under heavy selling pressure, largely due to whale activity and profit-taking from long-term holders.
Altcoins have shown limited recovery as well, as traders continue to assess liquidity conditions and systemic risks within major exchanges.
Wintermute, known for its algorithmic trading and liquidity provisioning, has remained one of the few firms able to sustain operations across volatile cycles. Its decision to avoid public confrontation or legal escalation appears to be a strategic move to maintain stability and trust with exchanges and institutional partners.
The episode serves as a reminder of how sensitive the crypto market remains to both technical disruptions and rumors. A single malfunction or unverified social media post can ripple through prices within hours, magnifying losses across leveraged traders and institutional portfolios.
Wintermute’s calm and clear response signals a maturity that the industry continues to build. Instead of contributing to panic, Gaevoy opted for transparency and rational communication — something often missing in fast-moving crypto narratives.
For now, both Binance and Wintermute seem focused on moving forward rather than engaging in disputes. The clarification from Gaevoy reinforces a key principle: trust and communication remain essential in an ecosystem that operates 24/7 and reacts instantly to any sign of weakness.
Market analysts believe that while volatility is part of crypto’s DNA, the response from key players like Wintermute and Binance highlights an evolution in handling crises.
As the market stabilizes, investors are likely to focus more on fundamentals and less on rumors. The swift rebuttal from Gaevoy not only ends speculation about legal drama but also strengthens Wintermute’s reputation as a responsible participant in the digital asset market.
In the current environment, where misinformation can quickly distort sentiment, this episode underscores the need for verified communication from credible industry leaders.
For now, one thing is certain — Wintermute’s CEO has made his stance crystal clear: there will be no lawsuit against Binance, and the rumors can finally be put to rest.
Julie is a renowned crypto journalist with a passion for uncovering the latest trends in blockchain and cryptocurrency. With over a decade of experience, she has become a trusted voice in the industry, providing insightful analysis and in-depth reporting on groundbreaking developments. Julie's work has been featured in leading publications, solidifying her reputation as a leading expert in the field.
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