- Binance has published a report that reveals a overload of the exchange du to the high trading volume while the price of Bitcoin (BTC) was on the rise.
- Binance attributes system failures to the growing number of users and high demand for Bitcoin.
Binance has published a report on the events of 17 February. The exchange recorded high trading volumes during the day. This and the number of active users led to failures in the exchange’s system. According to Binance CEO Changpeng Zhao, the exchange has faced similar problems in the past.
System overload in Binance reveals growing demand for Bitcoin (BTC)
According to the incident report, Binance’s platform experienced an overload in its system. This caused difficulties in accessing the website. The Binance CEO stated that he feels honored by the number of users who choose Binance. Through his Twitter account, Zhao said:
Writing a detailed report on some of the perf issues we face in the last few days. (…) It’s not the first time Binance faced challenges, and it won’t be the last time we solve them. We are humbled to have the heaviest traffic in crypto, and your support!
Binance revealed in his report that unlike other bull markets, when the price of the BTC reached $10,000, there are now more users who use the exchange. After the correction of the last few days, the exchange therefore sees a strong signal for an imminent price recovery. The crypto exchange stated that it was facing two major problems. First, they suffered from temporary problems in their user interface due to poor performance in the scalability of the platform. This problem increased with each user attempting to access the platform, causing the system overload to increase:
This was due to our middle layer service being overloaded very quickly. The issue was resolved in the short term by increasing the resource levels.
In addition, the exchange reported problems with its market data and balance updates for its users’ accounts:
We had multiple issues with our message brokers as well. One of the message brokers sub-components that typically pushes out 2.5GB+ of data per second, suddenly dropped the throughput by 100x, causing messages to be backed up, resulting in the order book as well as user balance update delays.
The exchange also attributed the failures to new features they implemented in the last bear market and tests in the system that increased the overload. Binance’s CEO stated that the problems will be solved in the short, medium and long term. Due to the nature of the failures, some solutions cannot be implemented immediately.
As reported by CNF, after one of the best early starts for the BTC price in recent years, the market experienced a sudden drop. At the time of publication, BTC is trading at $9,682 and has had a lateral move (+0.31%) in the last 24 hours. It remains to be seen if Zhao is right and the market will recover in the coming days.