Binance has announced that it is taking decisive action against market manufacturers involved in allegations of irregularity, including Goplus Security (GPS) and Myshell (Shell).
Following an internal investigation, Binance discovered that the same market maker responsible for GPS market activities was also involved in MyShell’s market creation activities. In response, Binance removed the entities from the platform and banned the implementation of further market creation activities.
Binance has implemented the following measures to protect users and maintain market integrity:
- Market Maker Listing: Designated market makers have been removed from the system and are currently prohibited from carrying out any market operations relating to vinance.
- Forfeiture of Proceeds: Revenues related to market makers’ activities have been forfeitured. These funds will be used to compensate users affected by irregularities in the GPS and shell market. Details of specific rewards will be announced at a later date by each project.
Binance reiterated the importance of adhering to market creation principles, including:
- Place both buy and sell orders to ensure balanced market activity.
- Maintain appropriate order sizes within established depth levels.
- Maintain a stable spread to support market efficiency.
- Preventing confusion caused by excessively high frequency order placement and cancellation.
*This is not investment advice.
