- Wintermute will not file, and has not considered filing, a lawsuit against Binance over the Oct. 10 market crash.
- CEO Evgeny Gaevoy called the lawsuit talk “baseless” and said nothing has changed since his 11 October statement on X.
- Binance separately compensated traders with $283 million and set up a $400 million fund after the event; it’s unclear if Wintermute was reimbursed.
Evgeny Gaevoy, CEO of crypto market maker Wintermute, has denied fresh rumors that his firm is preparing legal action against Binance over October’s crypto flash crash.
Related: Why did crypto crash? On-chain data linking Binance and Wintermute surfaces
Gaevoy Shuts Down Lawsuit Rumors
In a new post on X, Gaevoy said the company’s stance is unchanged from 11 October and that Wintermute is “not suing Binance” and has “never planned to.” He dismissed the renewed speculation as rumor recycling and compared those spreading it to having a “goldfish memory.”
October 10 Was A Marketwide Liquidation Event
The backdrop to the rumor was the violent 10 October move, when leveraged crypto positions worth more than $20 billion were liquidated across multiple exchanges in a short window.
Liquidity thinned, synthetic assets went off-peg, and even professional desks saw orders filled at levels they later described as “ridiculous.” That environment triggered talk that some market makers might seek compensation or legal redress, with Binance being named in several community posts.
Wintermute Says Some Fills Were “Very Weird,” But Business Is Stable
Gaevoy had previously said on a podcast that Wintermute experienced liquidation strikes at “very weird” levels during the event and that some fills hit “completely ridiculous prices.”
Even so, he stressed again that the firm remains stable, that this was an extreme market episode, and that Wintermute’s response was to keep operating, not to litigate. The clarified message is: abnormal prints do not equal a lawsuit.
Binance Rolled Out Compensation And A Rescue Facility
After the crash, Binance said it compensated affected traders with $283 million when synthetic assets such as USDe, BNSOL, and WBETH briefly lost their pegs.
The exchange also introduced a $400 million rescue program, including $100 million in low-interest capital to help institutional clients resume trading. It is not public whether Wintermute was among the compensated parties, which likely fuelled the online speculation. Today’s statement from Gaevoy aims to close that loop by saying compensation or not, Wintermute is not suing Binance.
Related: U.S. Shutdown Stalls 90 Crypto ETF Approvals in October, Freezes $10 Billion in Inflows
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