Binance, the world’s largest cryptocurrency exchange by trading volume, has announced the launch of its $400 million “Together Initiative” to support users—particularly retail traders—impacted by extreme market volatility.
This comes amid a sharp crypto sell-off on October 10-11, 2025, triggered by geopolitical tensions, including U.S. tariff announcements on Chinese tech imports that reignited fears of a trade war.
The crash led to over $19 billion in leveraged liquidations across exchanges, with Binance alone accounting for about $7.4 billion of those losses. Major assets like Bitcoin (BTC), Ethereum (ETH), and Binance Coin (BNB) dropped by double digits in hours, echoing the severity of past events like the 2022 Terra Luna collapse.
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The program is structured as a two-pronged effort to provide immediate relief and promote long-term stability, without admitting liability for user losses.
$300 million in USDC token vouchers. Individual traders with forced liquidations Losses of at least $50, representing ?30% of net assets during the Oct. 10-11 volatility. Vouchers range from $4 to $6,000, distributed within 96 hours via a dedicated dashboard.
Aims to restore liquidity for everyday users hit hardest by the “liquidation bloodbath.” $100 million in low-interest loans. VIP clients, market makers, and ecosystem partners
Confidential applications through account managers. Focuses on easing liquidity crunches to prevent further market shocks and maintain orderly trading.
Binance emphasized that this is a “user-first” move to rebuild trust, stating: “Without our users’ support, there would be no Binance.” The initiative builds on prior efforts, like a $45 million airdrop for memecoin traders and $283 million in post-crash compensation, bringing total recent support to over $728 million.
The announcement has been hailed by some analysts as a “strategic lifeline” for investor confidence, signaling Binance’s role as a market stabilizer during crises. It coincides with a partial rebound: BNB surged on organic liquidity flows as traders sought “safer” exchange-backed assets.
However, reactions are mixed: Industry experts praise it for addressing structural issues like the $223 million crypto fund outflows earlier in 2025 and reinforcing user protection.
On X (formerly Twitter), users highlighted perceived inequities, such as a reported whale losing $2 million receiving just 0.26 USDT in compensation—possibly a glitch or strict eligibility cutoff.
Others noted the fund’s scale is modest relative to Binance’s $22.85 billion daily volume and 90 million users, questioning if it fully tackles deeper regulatory and governance concerns.
Binance has also rolled out complementary tools, like real-time “smart signal” alerts for volatility tracking and ecosystem trading competitions to boost engagement. Users can check eligibility soon via an upcoming dashboard, with a full system audit promised to improve platform reliability.
This initiative underscores the crypto sector’s ongoing battle with volatility, where exchanges like Binance are increasingly acting as quasi-central banks to cushion blows. As markets recover gradually, it could help stem user exodus to competitors, but long-term success depends on transparent execution and broader regulatory alignment.
Eligibility Criteria for Binance’s $400M “Together Initiative” Compensation
Based on the announcement for Binance’s $300 million Retail Trader Compensation component of the “Together Initiative” launched on October 14, 2025, the eligibility criteria for retail traders seeking compensation in the form of USDC token vouchers are as follows:
Traders must have incurred losses of at least $50 during the market volatility event on October 10-11, 2025. The losses must represent at least 30% of the trader’s net assets on the Binance platform during the specified volatility period.
Compensation is targeted specifically at users who experienced forced liquidations due to the extreme market conditions during the stated period. Eligible users will receive USDC token vouchers ranging from $4 to $6,000, determined based on the extent of losses and other undisclosed factors.
Users can check eligibility and claim vouchers through a dedicated dashboard on the Binance platform, with distribution expected within 96 hours of the announcement by approximately October 18, 2025.
Binance may require account verification to confirm eligibility, though specific requirements were not detailed in the announcement. For precise details or edge cases, users should refer to the official Binance dashboard or contact Binance support, as criteria may be subject to additional terms or platform-specific conditions.