Binance, the world’s largest cryptocurrency exchange, has endured what the company is calling a DDoS attack on its cloud provider. The issue initially surfaced yesterday, as users were unable to access their accounts, following a scheduled maintenance update.
Binance has now issued a statement on its website, saying that the exchange has “completed its system upgrade and we expect all trading activity to resume at 10:00 AM (UTC).”
Moreover, the announcement relayed that during the 60 minutes prior to trading restoration, users will be able to cancel orders, process deposits and withdrawals, and conduct any other account functions without restrictions.
In an effort to compensate users for the lack of access to their accounts, Binance has also announced that all users will receive a 70% discount on trading fees (0.03% on all trades, 0.015% with BNB). The discounted fees will remain in effect until February 24, at 00:00 AM (UTC).
— Binance (@binance) February 9, 2018
Approximate Timeline of Events
In the aftermath of the saga, the exchange’s CEO Zhao Chengpeng published a tweet, in an attempt to provide the public with additional information regarding the incident.
System will be coming online soon. If you have issues access https://t.co/EtPD2bFzOK, please try https://t.co/pUlb5rOdnH or https://t.co/nZWSnxoCNd . There was a DDoS attack on our cloud provider, resolved, but still some lingering effects.
— CZ (@cz_binance) February 9, 2018
Initial indications yesterday pointed to server issues that caused the delay in restoring systems functionality, stemming from messages relayed by the company through their twitter account.
Despite claims that unforeseen incidents caused the malfunction, CEO Zhao Chengpeng tweeted a more detailed and technical explanation for the incident, specifying a server issue causing data sync failure.
We experienced a server issue on our replica database cluster, causing some data to be out of sync. Need to fully resync from master. Due the size of the data, it will take several hours. No data is lost. We appreciate your understanding and support.
— CZ (@cz_binance) February 8, 2018
Shortly thereafter, John McAfee sent a tweet claiming that rumors had surfaced, which appeared to indicate that the true cause behind the lack of access to the exchange was that the exchange was hacked.
These issues were swiftly denied by Binance, denying the claims in a fast reply to McAfee’s tweet, asking him to refrain from spreading false and unproven information.
— Binance (@binance) February 8, 2018
Binance has quickly risen to become the largest cryptocurrency exchange in the world. At the height of the crypto craze, the exchange claimed 250,000 new user registrations recorded within just one hour.
The exchange provides crypto enthusiasts and investors with access to a myriad of crypto assets and coins, thereby enabling a centralized portfolio with the potential for immense diversification, relative to competing exchanges.