Binance suspends employees for the privileged information trade and accusations

Binance has suspended a personnel member accused of using privileged information from a previous role in BNB Chain for the launch of the launch of a token.

The action follows an internal investigation launched on March 23 after a complaint was filed before the internal audit team of the exchange.

The investigation

The suspect, who was part of the Binance Wallet team at the time of alleged misconduct, should not have access to non -public information about the project involved. However, the platform investigation revealed that before being transferred to the department, the employee had worked in commercial development in BNB Chain.

Using ideas of his previous role and familiarity with the projects in the chain, the defendant anticipated a market reaction to an upcoming tokens generation event (TGE). Before the public launch announcement, he used multiple wallet addresses linked to acquire several of the tokens. He then sold part of his profitable holdings while retaining the rest, which still had considerable profits not made.

“This behavior constitutes the frontal career based on the non -public information obtained from its previous role and is a clear violation of the company's policy,” said the wallet team in an x <a target="_blank" href="https://x.com/BinanceWallet/status/1904352541615554611″ target=”_blank” rel=”noopener” data-wpel-link=”external”>mail.

As a result, the staff member was immediately suspended, and the company is working with the authorities in its jurisdiction to follow legal actions. He also confirmed that any associated asset would be handled in accordance with applicable laws.

Suspicion of the community and rewards

Binance also addressed the role of community reports when exposing the incident, stating that although he appreciated public efforts, the rewards would only be granted to those who presented information through their official email of denouncing irregularities.

A total of $ 100,000 will also be distributed among four anonymous people who used the official reports of the platform.

In particular, the company has not revealed the identity of the suspect, but several x users have pointed out Freddie NG, a former operations manager of BNB Chain, as a probable culprit. The reports stressed that his LinkedIn profile shows that he joined the Binance Wallet commercial development team last month.

Shared screenshots by x User “Py” <a target="_blank" href="https://x.com/pycharts/status/1903692054716416011″ target=”_blank” rel=”noopener” data-wpel-link=”external”>show That a wallet marked by the Dex screen to benefit $ 82,400 of the U Dex (UUU) platform tokens had received the coins of another wallet initially financed by the “Freddieng.bnb” address, which NG had previously shared in its social networks account.

The case reminds other cryptographic scandals, including that of former Coinbase Isehan Wahi manager, who was sentenced in 2023 for filtering Token information. It also resembles the case of the exchange of privileged information of the former Head of Products of Opensa, Nate Chastain, who was accused of using eth Burner's secret wallets to buy nft before they appeared on the platform.

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