Some Crypto Tokens Plunge 50% Within Minutes on Binance Amid Suspected Trading Bot Glitch

Multiple tokens cratered as much as 50% within 30-minutes on crypto exchange Binance on Tuesday, with market watchers wondering if a misconfigured trading bot could have caused the declines.

Act I, the Prophecy (ACT) slumped 50%, DeXe (DEXE) dropped 30% and dForce (DF) fell nearly 20% within minutes after 1100 UTC on Tuesday, data from Binance shows, with no immediate catalyst or explanation behind the sudden fall.

The tokens are not related or in the same sector. Data showed a surge in selling volumes roughly around the same time, with no other tokens on Binance seeing similar spikes in selling volumes.

The cascade spread over to other exchanges, with these tokens down equivalent amounts on other centralized exchanges as well as on decentralized exchanges.

Early reactions on X ranged from surprise to speculations of a market-making bot possibly causing the declines due to a misconfiguration on how they trade, though CoinDesk could not independently confirm the allegations as of writing time.