Here’s how the bloodiest crypto collapse in months resulted in Binance (BNB) congestion
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Binance CEO and co-founder Changpeng Zhao admits some problems with Ethereum (ETH) and Terra (LUNA) transfers as markets have slightly bounced from the bottom of a historic collapse.
Blockchain congestion and node issues affect Ethereum, Terra operations on Binance
Mr. Zhao has taken to Twitter to share that some users of his exchange, Binance (BNB), may see their transfers in Ethereum (ETH) and Terra (LUNA) affected by network congestion.
Some blockchain congestion and node syncing issues with ETH (also high fees) and LUNA, deposit and withdrawals may take longer than usual to process. Other networks all working fine. Our teams are monitoring closely. Funds are #SAFU. 🙏
— CZ 🔶 Binance (@cz_binance) May 11, 2022
These problems should be attributed to the heavily overloaded Ethereum (ETH) blockchain, which is also struggling with high fees. Also, some deposits and withdrawals in LUNA may take more time than expected.
He stressed that all funds are SAFU, and Binance (BNB) experts are monitoring the issue closely. Also, according to his tweet, other networks are unaffected.
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However, trading on Binance P2P also became unavailable for users in multiple regions.
Exchanges have begun delisting LUNA
The largest centralized cryptocurrency exchanges often go offline in periods of increased market activity. For instance, Coinbase was unavaliable during the Q4, 2021, meme coin mania.
To avoid such problems, some exchanges started delisting Terra (LUNA), a cryptocurrency that has lost more than 98% in recent days. Crypto Twitter users are reporting that major Korean exchanges are considering removing Terra from their trading toolkits.
Korean exchanges moving to potentially delist $LUNA pic.twitter.com/mwSQX0J1e4
— Doo | StableNode @SanFran (@DooWanNam) May 11, 2022
Also, derivatives trading platform PrimeXBT has already banned opening new positions in the LUNA/USD pair and closed the existing ones.