In a post-mortem issued shortly after the bitcoin withdrawal moratorium was lifted, Binance has identified “repairs of several minor hardware failures on wallet consolidation” that ultimately forced it to halt withdrawals. To fix the issue and prevent it from recurring, Binance said it changed the logic to “only take successful UTXOs from consolidation transactions or successful withdrawals.”
minor hardware failure
Binance has said that bitcoin withdrawals have resumed on its bitcoin network, just hours after “a stuck on-chain transaction” forced the exchange to freeze withdrawals for about three hours. According to a Twitter thread in which it wants to reassure users, the exchange claimed that users’ deposits were unaffected. It added that users had the option of making withdrawals through other networks during the down period.
in his posthumous Events that forced the exchange to halt withdrawals, Binance claimed on June 13 that “repaired several minor hardware failures on wallet consolidation nodes” caused “earlier transactions to be broadcast on the network after the nodes were repaired”. were pending”. ,
According to the exchange, gas charges were low in these transactions, due to which the transaction got stuck. The exchange explained:
These pending consolidation transactions had low gas fees, as a result of which subsequent withdrawal transactions – pointing to a pending consolidation UTXO – were stuck and not processed successfully.
Therefore, in order to correct this and prevent recurrence, Binance said that it would have to “change the logic so that only successful UTXOs can be obtained from consolidation transactions or successful withdrawals.” The exchange said that after this change, withdrawals have resumed on the bitcoin network.
Centralized Finance vs P2P
Meanwhile, the decision by Binance, one of the top centralized cryptocurrency exchange platforms globally, to halt withdrawals has sparked an angry backlash from the CEO of peer-to-peer platform Paxful, Ray Youssef. in your 13 june TweetYusuf also took this opportunity to explain the benefits of using a P2P platform.
“While exchanges like Binance have stopped all bitcoin withdrawals, Paxful remains open. P2P, P2p electronic cash ala bitcoin is built on the same honest principles of good money as it is,” Yusuf said.
The CEO of Paxful ended his tweet by questioning Binance’s decision to “leave open all sh*tcoin withdrawals”.
Responding to Yusuf’s tweet, a Twitter user named Crypto Journal Told: “Good what I was telling people yesterday after CZ’s post. Binance acts like CEFI to keep it short [centralized finance] Those people are buccaneers. They don’t care about little people. They fear that if people start withdrawing money they will not be able to get it because most of the bitcoins are on debt.
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