Trading Crypto on Binance Becomes Challenging as Order Book Liquidity Tanks 25%
Summary
The resignation of Binance CEO Changpeng Zhao and the $4 billion settlement of U.S. criminal charges did not significantly impact the broader crypto market. However, it affected Binance's order book liquidity, making trade more difficult for large traders. Binance liquidity has dropped by 25% due to these changes, meaning large orders have become harder to trade at stable prices, exposing big traders to slippage. It is not yet clear if the liquidity has shifted to other exchanges. Following these events, users withdrew nearly $1 billion from the exchange. Meanwhile, Bitcoin's value dropped by 4% but later recovered slightly.
