Binance Wallet Suspends Staff Member Over Front-Running Allegations

Binance has suspended an employee following accusations of using privileged information to conduct front-running on a token launch. The company clarified that no insider trading occurred and plans to work with authorities for potential legal actions.

Details:

• The staff member is alleged to have acquired tokens using confidential insights from their former role at BNB Chain, profiting from a Token Generation Event (TGE).
• Binance’s internal probe found no indication of insider trading.

In a statement on X, the Wallet team emphasized, “This behavior constitutes front-running based on non-public information obtained from his previous role and is a clear breach of company policy.”

The recent incident draws parallels to the 2023 case at Coinbase involving former manager Ishan Wahi, accused of insider trading involving token listings. Binance hopes to uphold integrity by taking appropriate measures.