{"id":22372,"date":"2025-03-25T10:18:01","date_gmt":"2025-03-25T08:18:01","guid":{"rendered":"https:\/\/forklog.com\/en\/binance-suspends-employee-over-insider-trading-allegations\/"},"modified":"2025-03-25T10:18:01","modified_gmt":"2025-03-25T08:18:01","slug":"binance-suspends-employee-over-insider-trading-allegations","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/binance-suspends-employee-over-insider-trading-allegations\/","title":{"rendered":"Binance Suspends Employee Over Insider Trading Allegations"},"content":{"rendered":"<p>The cryptocurrency exchange Binance has suspended a member of its Binance Wallet team for allegedly using insider information to secure illicit profits.<\/p>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">Investigation Findings on Staff Misconduct in Trading<\/p>\n<p>Dear Binance Users and Community Members,<\/p>\n<p>On March 23, 2025, Binance\u2019s Internal Audit team received a complaint alleging that one of our staff members engaged in front-running trades using insider information to gain\u2026 <a href=\"https:\/\/t.co\/SVVvu4rX1x\">pic.twitter.com\/SVVvu4rX1x<\/a><\/p>\n<p>\u2014 Binance Wallet (@BinanceWallet) <a href=\"https:\/\/twitter.com\/BinanceWallet\/status\/1904352541615554611?ref_src=twsrc%5Etfw\">March 25, 2025<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>According to the report, the team member acquired a significant amount of tokens from a project planning a <span data-descr=\"token generation event\" class=\"old_tooltip\">TGE<\/span>. Following the public announcement of the coin launch, he sold part of the assets, securing substantial profits.<\/p>\n<p>Binance clarified that Binance Wallet employees do not have access to confidential project information. The insider exploited his knowledge of plans from his previous role as Director of Business Development at BNB Chain.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cAs a result of this behavior, the employee was immediately suspended and awaits further disciplinary action,\u201d the statement read.<\/p>\n<\/blockquote>\n<p>The exchange intends to pursue legal action against the insider according to the jurisdictional rules of his residence.<\/p>\n<p>Binance did not disclose details, but users claim the individual in question is Freddie Ng. He <a href=\"https:\/\/x.com\/WuBlockchain\/status\/1903719182853881988\">spent<\/a> $6,227 to purchase 24.1 million UUU tokens (2.4% of the total supply).<\/p>\n<blockquote class=\"twitter-tweet\" data-lang=\"en\">\n<p lang=\"en\" dir=\"ltr\">4 photos to show you all that you should clean your wallets don&#8217;t get caught lacking<a href=\"https:\/\/t.co\/54Q7PvnRFd\">https:\/\/t.co\/54Q7PvnRFd<\/a> <a href=\"https:\/\/t.co\/dz7s1w0F86\">pic.twitter.com\/dz7s1w0F86<\/a><\/p>\n<p>\u2014 py (@pycharts) <a href=\"https:\/\/twitter.com\/pycharts\/status\/1903692054716416011?ref_src=twsrc%5Etfw\">March 23, 2025<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The insider then sold 6.02 million UUU, earning approximately $113,600. About 18.1 million tokens, valued at ~$200,000, remain stored across his nine addresses.<\/p>\n<p>Binance announced it will distribute a $100,000 reward among four whistleblowers who reported the alleged violation.<\/p>\n<p>Back in 2024, the exchange <a href=\"https:\/\/forklog.com\/en\/news\/binance-launches-internal-investigation-following-ronin-listing-controversy\">sought an insider<\/a> within the team following a scandal involving the listing of the Ronin (RON) token.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The cryptocurrency exchange Binance has suspended a member of its Binance Wallet team for allegedly using insider information to secure illicit profits. Investigation Findings on Staff Misconduct in Trading Dear Binance Users and Community Members, On March 23, 2025, Binance\u2019s Internal Audit team received a complaint alleging that one of our staff members engaged in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":22371,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[744,1166,1188],"class_list":["post-22372","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-binance","tag-centralized-exchanges-cex","tag-data-breach"],"aioseo_notices":[],"amp_enabled":true,"views":"34","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/22372","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=22372"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/22372\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/22371"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=22372"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=22372"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=22372"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}