The $500 Billion Crisis in the Crypto Market: The Attack on Binance, Wintermute’s $700 Million Movement, and Trump’s Impact

Updated

October 14, 2025

Gambar The $500 Billion Crisis in the Crypto Market: The Attack on Binance, Wintermute’s $700 Million Movement, and Trump’s Impact

Jakarta, Pintu News – The crypto market recently experienced a severe shock with losses reaching $500 billion. Various factors played a role in this event, including a massive action by Wintermute, a cyberattack against Binance, and controversial comments from US President Donald Trump. This article will dig deeper into each of these factors that contributed to the market chaos.

Wintermute and Big Deposits Before the Market Crash

Wintermute, a market maker associated with Binance, is in the spotlight after it was found to have deposited over $700 million into Binance hot wallets before the crypto market collapsed. This action sparked speculation and accusations of market manipulation involving major players in the industry. These activities raised concerns among investors and analysts who questioned the integrity of operations in the crypto market.

This controversy adds to the long list of suspicions of irregular market practices and lack of transparency from large crypto institutions. Increased scrutiny from regulators may be the next step, given the far-reaching impact these actions have on overall market value.

Also read: After $20 Billion Crypto ‘Black Friday’, Traders Now Switch to Survival Mode!

Targeted Attack on Binance

The crypto market crash on October 11 is suspected to be a targeted attack that exploited a flaw in Binance's Unified Account margin system.

The issue stemmed from using assets like USDE, wBETH, and BnSOL as collateral, whose liquidation prices were based on Binance's own…
— Dr Martin Hiesboeck (@MHiesboeck) October 12, 2025

Martin Hiesboeck, head of research at Uphold, revealed that the market crash occurred after a cyberattack that targeted Binance’s Unified Account margin system. This attack used assets such as USDe, wBETH, and BNSOL as collateral, which caused problems because the liquidation price was based on the highly volatile Binance spot market. This showed the vulnerability of Binance’s security system and triggered panic in the market.

This vulnerability not only disrupts Binance’s operations but also raises serious questions about the security and stability of digital financial infrastructure. This marks one of the most significant incidents affecting investor confidence in crypto markets and highlights the importance of security and protocol improvements.

The Impact of Trump’s Comments on the Crypto Market

A post on Truth Social by US President Donald Trump about massive tariffs against China sparked panic leading to a crypto market crash. This comment signaled the possibility of a new trade war which made global stock markets start slipping, followed quickly by crypto markets.

In other words, Trump’s insiders got their bags filled on the market crash and he wants things to be better now.

Brazen crime! https://t.co/OtpHBn74Ai
— Adam Cochran (adamscochran.eth) (@adamscochran) October 12, 2025

The impact of this statement was huge, given the market’s sensitivity to political and economic uncertainty. Crypto markets, already known for their volatility, are particularly susceptible to external events such as comments from political figures. This shows how quickly market sentiment can change and how geopolitical events can dramatically affect digital investments.

Conclusion

This $500 billion crisis underscores the vulnerability of crypto markets to various factors, both internal and external. Going forward, it is important for market participants to understand the risks involved and for regulators to strengthen frameworks to protect investors. This incident also emphasizes the importance of transparency and security in crypto market operations.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities have high risk and volatility, always do your own research and use cold cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

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