Trader publishes open letter after Binance lawsuit over ‘10/10’ crash allegations

An X user had accused Binance of allegedly manipulating a price wick in the SOL/USDT trading pair on October 11, blaming the exchange for wiping away “ten years of their heart and soul.” 

A cryptocurrency trader named Edison Zhang is facing legal action from Binance after publicly accusing the exchange of causing a market event that liquidated his leveraged positions. The trader, known on X as @edisonzz, published an open letter that also included evidence to back his claims. 

He also shared screenshots of his trades on the SOL/USDT pair on October 11, claiming that an unusual price movement, also known as a wick, led to the liquidation of his long positions. “Everything had been wiped out. My account was at zero. Ten years of heart and soul vanished into thin air,” Zhang lamented.

Binance leverage market price wick caused liquidations, user claims

A price wick, also called a shadow or tail, is the thin vertical line on a candlestick chart that represents the highest and lowest prices reached during a trading period, even if the price did not close there. 

The upper wick shows the highest level reached before an asset’s price pulls back and selling pressures intensify. On the flipside, the lower wick shows the lowest level reached before price rebounds and buying interest jumps in.

Zhang says the disputed movement began from a downward wick in SOL trading on Binance. He states his liquidation price was $145, while the market low at the time was $141. According to his account, the move pushed the price below his liquidation threshold, commencing an automatic closure of his positions.

“In 2025, I was working in Abu Dhabi, UAE. My strategy for the year was to be a steady, conservative player, aiming for consistent growth. Betting on the positive outlook for the U.S. ETFs, I opened a long position on SOL at over $240, expecting approval within the next 1–2 weeks,” he narrated.

On the morning of October 11, at nearly 2:00 AM, I woke up with a jolt. I checked the price—it was around $180. I had received absolutely no SMS or email notifications regarding a margin call. But, feeling uneasy, I opened the app anyway, only to find that everything had been wiped out. My account was at zero.

Zhang.

After the incident, Zhang says he attempted to resolve the matter through Binance customer support, but the conversations went nowhere, support tickets were rejected, and he was repeatedly directed to official announcements. 

Zhang initially considered seeking recourse through the Financial Services Regulatory Authority, or FSRA, in Abu Dhabi. He says he later learned FSRA regulates Binance FZE, a different legal entity from the one serving global users, so he had to abandon that path.

In December, the bereft trader discovered that Binance Global had changed its registered address to the Abu Dhabi Global Market (ADGM). Because ADGM falls under the same jurisdiction as his workplace and is physically close, he believed it could be his chance at getting compensation.

According to Zhang, he made several public posts about his ADGM pursuit, which prompted a cease-and-desist notice dated February 3 from Al Tamimi & Company, a law firm he claimed represents Binance. Per the email shared in the X article, the firm is the legal counsel to Nest Exchange Limited, the entity responsible for Binance[dot]com.

Zhang says Binance’s representatives cited his customer service chat records and insisted that seeking recourse through FSRA would be “illegal.” He says they insisted disputes must go through arbitration at the Hong Kong International Arbitration Centre or the International Chamber of Commerce. 

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