Binance has found itself in another tight spot as the world’s biggest crypto exchange froze the accounts of Dogecoin investors from withdrawing the asser. The users of the platform took to social media platforms to express their dissatisfaction with the exchange.
According to a Reddit user, investors were reportedly asked to return Dogecoin they did not possess. Following this, in an announcement on Thursday, Binance shut down all DOGE network withdrawals.
“We discovered a minor issue with DOGE network withdrawals on Binance after carrying out a version update on 2021-11-10. As a result, we have temporarily suspended DOGE network withdrawals until this issue is resolved.”
Said the world’s biggest cryptocurrency exchange in the post.
The reason for this ‘minor’ issue or the issue itself wasn’t revealed. The Dogecoin Core was updated to version 1.14.5, in which the minimum transaction fees were revised at 0.01 DOGE/kb. Along with the reduced fee, the release also fixed “2 high severity vulnerabilities” that were the cause of concern for the Core users.
Dogecoin developers reveal the cause
Binance was asking users to return DOGE tokens that they didn’t possess, and according to some users, the exchange processed withdrawals with the wallet owners’ permission. After zero answers from Binance, the Twitter community representing Dogecoin developers explained the situation.
According to the tweets, the reason for this unforeseen situation is the attempts to carry on the transactions requested years ago on the exchange. The DOGE network withdrawals were working fine on other exchanges, and it seems that the situation only persists on the Binance exchange.
These transactions were “stuck” in the exchange because of the insufficient transaction fees. Now that the transaction fee was lowered, the transactions were re-initiated, even though the users don’t own their tokens or their wallets anymore.
Reddit users contacted Binance support to find out why this suspended withdrawal and why they suddenly own so many DOGE tokens.
I contacted them on the chat, and I was transmitted to the “relevant department”, who would contact me later.
the user said
A while ago, Binance reported that the network was going under maintenance due to heavy backup. Such issues seem to be common with the Binance exchange.