TLDR

Changpeng Zhao firmly denied allegations that Binance booked over 60,000 BTC in profits by hedging on BitMEX during the March 2020 crash.
Zhao labeled the claim as “fake news” and emphasized that Binance never traded on BitMEX, dismissing it as completely fabricated.
The CEO pointed out that BitMEX’s withdrawal process, which occurred once a day, made such a large-scale real-time hedge impossible.
Market experts also rejected the claim, noting that no entity would have risked locking up such a significant amount of BTC during a market crisis.
BitMEX itself confirmed it had no records supporting the alleged trade and clarified its infrastructure changes since 2020.

Changpeng Zhao, former CEO of Binance, has strongly dismissed recent claims suggesting that the exchange booked over 60,000 BTC in profits by hedging client risk on BitMEX during the March 2020 market crash. The viral post, which has been widely circulated within the crypto community, was described by Zhao as “fake news.” He further clarified that Binance never traded on BitMEX, calling the claim technically impossible due to the platform’s operational structure at the time.

The allegation that Binance traded on BitMEX to hedge risk during the pandemic-induced market downturn has drawn significant attention. Zhao responded directly to the claims, which suggested the exchange profited from the chaotic market movements by capturing more than 60,000 BTC. According to him, the assertion lacked any proof and was completely fabricated.

Binance’s CEO Dismisses the “Fake News”

Changpeng Zhao took to social media to refute the allegations, labeling them “fake news.” In a direct response to Flood, Zhao expressed confusion over the origins of the rumors. “Not sure what their goal is,” Zhao wrote, further stating that “Binance never traded on BitMEX.” He emphasized that such claims were entirely unfounded, adding that people should question the veracity of such statements without any substantial evidence.

To further support his position, Zhao highlighted a technical issue that made the alleged scenario impossible. At the time, BitMEX only allowed withdrawals once per day, making real-time hedging with such a significant amount of BTC unfeasible. Zhao tagged Arthur Hayes, co-founder of BitMEX, to reinforce this point, making it clear that the structure of the platform during the 2020 crash could not have allowed such a trade.

BitMEX and Market Experts Reject the Claims

Market experts have also weighed in, backing up Zhao’s stance. Murtuza J. Merchant, a commentator in the crypto space, pointed out that the once-a-day withdrawal system on BitMEX during 2020 would have prevented such a large-scale, real-time hedge. He stressed that no entity would have risked locking up 60,000 BTC during a black swan event like the March 2020 crash. Merchant further suggested that the 60,000 BTC figure was likely a result of rumors rather than an actual trade record.

BitMEX itself responded by denying any record of the alleged trades. The exchange noted that it had since upgraded its infrastructure to allow for real-time withdrawals, which was not the case in 2020. The company further stated that no data supported the claims of a massive hedge made by Binance or any other entity on their platform at the time.

The allegations have sparked another round of controversy in the crypto community, with some critics pointing fingers at Binance for its role in past market events. However, experts in the space continue to reject the claim as unsubstantiated.

The post Changpeng Zhao Denies Fake News Claim of Binance 60,000 BTC Hedge on BitMEX appeared first on CoinCentral.

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Filed under: News - @ February 13, 2026 11:30 am