The mechanism will allow trading only within price ranges around the benchmark price of recent trades. The parameters of the range will be published after the rule comes into effect, and they will differ for various trading pairs and market conditions. A Binance representative stated that this feature will not affect trading under normal conditions. The restrictions are intended to eliminate the risk of significant slippage during periods of high volatility and low liquidity. In October 2025, Binance and BNB Chain allocated $728 million to support traders following record liquidations exceeding $19 billion. At that time, tokens on the platform, such as ATOM, dropped by 99% momentarily, while WBETH and BNSOL fell 5-8 times. This led to a series of forced liquidations.
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Binance to Restrict Spot Trading During Low Liquidity Periods Starting April 14
The mechanism will allow trading only within price ranges around the benchmark price of recent trades. The parameters of the range will be published after the rule comes into effect, and they will dif...