Binance suspends employees after insider trade scandal: Internal investigation team reveals details!

<p> <strong> Binance suspends employees after insider trade scandal: Internal investigation team reveals details! </strong> </p>

Binance suspended employees for insider trade

introduction

Binance, one of the world's largest crypto exchanges, has announced that an employee is suspended, which is allegedly involved in insider trading. This measure follows complaints that were submitted by anonymous sources on March 23. An internal investigation into the activities of the employee concerned is underway.

Details for suspension

The suspended employee previously worked in the business development of BNB Chain before switching to the Wallet department of Binance. In his previous role, he had access to confidential information, including details about a so -called token generation event (TGE) of a specific project that was not announced to the public. Use this information, he bought a considerable amount of tokens of the not mentioned project, using various wallets.

As soon as the project officially announced the start of the token, the employee immediately sold part of his stocks and made considerable profits. Binance did not provide any precise information about the amounts, but confirmed that the employee had realized "significant profits" and that the remaining tokens had significant profits.

After a thorough review of the incident, Binance immediately suspended the employee. Any other disciplinary measures depend on the results of the ongoing examination. In addition, the company made it clear that the assets associated with illegal activity are subject to the applicable laws and regulations.

whistleblower rewarded

In one step to emphasize the integrity of the company, Binance rewarded four whistleblower with a total of $ 100,000 for their help in the uncovering of the incident. Binance has confirmed this commitment to transparency and fairness in a contribution on the platform X: "We have zero tolerance for any misconduct."

identity of the employee and affected projects

The identity of the suspended employee has already been unveiled in the crypto community, especially on Twitter (X). Accordingly, it is Freddie Ng, who works as a business development for Binance Wallet. The project in question in which he was involved may be Uuu, a token that was issued as part of the BNB Smart Chain (BSC).

sources report that Freddie Ng is said to have achieved a realized profit of $ 113,600 from the insider trade activities after only investing $ 6,227, to buy $ 24.1 million. This corresponds to 2.4 % of the total token offer of the project. At the time of the incident, the Binance employee continued to hold 18.095 million UUU tokens at nine different addresses, which corresponds to a profit of around $ 200,000.

FAZIT

The case about the suspension of a Binance employee raises serious questions about the processes within the crypto exchange. However, the ongoing internal examination and the measures already taken show that Binance is determined to protect users' interests and ensure that integrative standards are observed. The transparency and commitment to the clarification of such incidents are crucial to maintain the trust of the users in the platform.