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The CEO Wintermute, Evgeny Gaevoy, has denied widespread speculation that the company intends to sue Binance following the October 11 market crash that wiped out billions across the crypto ecosystem.
Addressing the fast-spreading Wintermute Binance lawsuit rumors on November 4, Gaevoy clarified that the firm remains operationally stable and has “no reason” to pursue legal action.
“We never had plans to sue Binance, nor see any reason to do it in future,” — Evgeny Gaevoy, Founder and CEO, Wintermute, said in a public post responding to the allegations.
The Wintermute Binance lawsuit story began circulating earlier in the day after an X (formerly Twitter) account named WhalePump Reborn — with about 14,000 followers — claimed that Wintermute was preparing legal action to recover losses allegedly worth “hundreds of millions.” The account described the situation as “going to be bad” if Binance did not find a way to compensate major market makers for their losses during the crash. It even likened the event to the now-infamous FTX collapse.
Gaevoy, however, called the claims false and labeled them a “larp” — internet slang suggesting the information was fabricated to provoke controversy. His response effectively quashed the Wintermute Binance lawsuit speculation but also reignited discussions about transparency and risk exposure among top market makers.
In his November 4 statement, Gaevoy referenced an earlier post he made shortly after the October 11 crash, emphasizing that Wintermute was “perfectly fine, business as usual.” That reassurance remains unchanged, he said, despite what online commentators have claimed.
The Wintermute Binance lawsuit rumor came in the aftermath of a $19 billion market-wide crash that led to significant liquidations. Gaevoy later confirmed that the company did experience “unusual liquidations” during the sell-off but stopped short of disclosing the total losses. He mentioned during a podcast with The Block that certain positions were liquidated at “completely ridiculous” prices — though he refrained from blaming Binance directly.
Despite questions about whether Binance compensated Wintermute, no public confirmation has been made. On-chain data indicates that Wintermute transferred roughly $700 million to Binance prior to the market crash, underscoring its position as one of the exchange’s most active liquidity providers. This connection likely fueled online discussions around the alleged Wintermute Binance lawsuit, even as the firm insists no legal action was considered.
The post from WhalePump Reborn also questioned whether Gaevoy had signed a non-disclosure agreement (NDA) with Binance after reportedly requesting compensation. It further accused him of organizing other market makers to support an impending lawsuit — assertions that Gaevoy swiftly denied.
At the center of the Wintermute Binance lawsuit chatter is growing investor sensitivity to transparency in market-making relationships following the Oct. 11 incident. The event, which saw a cascade of leveraged liquidations, raised concerns that technical vulnerabilities on Binance’s Unified Account margin system may have been exploited.
As previously reported by crypto.news, independent analysts, including Wu Blockchain, alleged that the crash may have been triggered by a coordinated exploit that manipulated Binance’s oracle price adjustment mechanism. This timing, occurring within the exchange’s update window, created opportunities for attackers to force mass liquidations — prompting speculation and the subsequent Wintermute Binance lawsuit rumors.
In response to the crash, Binance issued payouts totaling $283 million to users affected by the depegging of several assets, including Ethena’s USDe, wBETH, and BnSOL. The exchange also launched a $400 million relief initiative, with $100 million reserved for low-interest loans to help institutional traders resume operations.
While these steps demonstrated Binance’s willingness to address fallout from the event, it remains unclear whether Wintermute was part of the compensation effort. That uncertainty continues to feed online speculation about the Wintermute Binance lawsuit, even after Gaevoy’s categorical denial.
For now, both Binance and Wintermute appear focused on restoring normal market operations. Yet, the persistence of the Wintermute Binance lawsuit narrative reflects broader investor concerns about liquidity concentration and the fragility of large-scale trading systems during high-volatility events.
Despite the rumors, Gaevoy’s assurance that Wintermute is financially sound has offered some relief to market participants rattled by the October crash. “Perfectly fine, business as usual,” he reiterated — signaling confidence amid one of the most turbulent months for digital assets in 2025.
