A couple of days ago, Binance purchased the JEX platform that works in the field of trading crypto derivatives. After that, Binance spread the word about its plans to step into the sphere of trading crypto-based futures, options and other kind of similar products.
As part of the ‘Battle for Binance Futures’ a voting for two futures platforms was launched on a testnet.
However, today, on September 4, the BitMEX exchange pointed out in Twitter that Binance has simply copy-pasted the description of the deleveraging mechanism from the BitMEX page that was launched earlier than that of Binance.
Binance accused of unfair conduct
Two days ago, Binance launched the ‘Battle for Binance Futures’ and introduced the testnets for two platforms working with futures trading. While doing that, Binance also set up a page to explain to traders the mechanism of Auto Deleveraging (ADL) operations in details.
However, this page made by Binance is almost word-for-word the same as the ADL page by BitMEX that was launched earliest of the two.
Earlier today, the BitMEX exchange wrote on Twitter that Binance enjoyed reading their documentation as much as BitMEX enjoyed writing it, basically accusing the world’s flagship crypto exchange of plagiarizing their ADL page.
Changpeng Zhao was quick to respond
CZ’s is always known to respond quickly on Twitter and so he did this time. The head of Binance apologized. Although, he stated that his team missed the similarity of the pages in ‘the DD process’ before they did the acquisition.
CZ assured that neither he or his team had read the BitMEX page themselves and promised to remove or fix the Binance ADL page as soon as possible.
Shame on us. 😂 Sorry about that. Missed this in the DD process before the acquisition (didn't read the BitMex docs ourselves). Will fix/remove ASAP.— CZ Binance (@cz_binance) September 4, 2019
The official docs of Futures A platform (developed internally) are here: https://t.co/TPjvYgB2hr for your review.
The community’s reaction
Many in the community expressed their disappointment in the move by Binance, saying that they did not expect this from the platform.
Only one user pointed out that CZ mentioned the ‘DD process’ and the acquisition assuming that the mistake was made not by Binance but by a company they had acquired for working in the derivatives market.
By a company binance bought, not by binance. That's his point.— Mike van Rossum (@mikevanrossum) September 4, 2019
Some expressed their respect to CZ for honestly admitting the fact of the mistake.
Hey...at least CZ owned it. Rare these days.— BitTradr (@BitTradr) September 4, 2019
respect for owning it and moving on!!— A1CAndrew (@A1CAndrew) September 4, 2019