Speaking at Consensus Hong Kong on Feb 12, 2026, Binance's regional head Richard Teng directly addressed the Oct 10 market crash. He stated that the selloff was triggered by macro policy shocks, not exchange breakdowns or liquidity crises on any single platform.
US-China Trade Policies Sparked Cross-Market Liquidations
Teng highlighted the 100% US tariffs on Chinese goods and China's rare earth export controls announced that day. These policies sent risk assets into a tailspin, wiping out roughly $1.5 trillion in US equities. US equity liquidations alone hit about $150 billion. In comparison, crypto liquidations totaled approximately $19 billion, about one-eighth of the equity market figure.
Timing and Distribution Confirm Macro Cause
Approximately 75% of crypto liquidations clustered around 9:00 p.m. ET, aligning precisely with the US equity meltdown. Teng emphasized that liquidations occurred across all exchanges simultaneously, ruling out platform-specific failures. He described the event as a market-driven liquidation cycle, not a disorderly crash.
USDe Deviation and Transfer Delays Were Secondary
After the main liquidation wave, two isolated issues emerged: a temporary USDe price deviation and slower asset transfers for some users facing liquidation. Teng clarified that both issues surfaced after most liquidations had concluded and did not cause the broader selloff. Binance issued $300 million in compensation and allocated another $300 million through a shared-gain program. He stressed that full liquidation coverage was never promised and that traders must bear normal market risks.
Binance Operational Data: 300M Users, $34T Volume Unaffected
Teng reported that Binance serves about 300 million users and processed roughly $34 trillion in trading volume last year. No mass withdrawals were observed during the crash. He noted that crypto prices still reflect global uncertainty—interest rate expectations and geopolitical tensions—but institutional and corporate participation remains strong, even as retail activity softens.