A Binance employee got in trouble for using secret info to make over $113,000. The employee bought and sold a token called UUU before it was officially announced.
This person used to work in business development on BNB Chain. Now they’re accused of using confidential info to make money.
Here’s what happened:
- The employee bought a lot of UUU tokens before the official launch.
- After the launch, they sold some tokens and made a lot of money.
- Binance found out and suspended the employee.
- The company is now looking into how to stop this kind of thing from happening again.
The investigation showed the employee didn’t break any rules while working in Binance Wallet. But they did use info from their old job to make money.
Binance says they’re taking this seriously and will give the employee’s illegal profits to the authorities. The company also rewarded people who reported the problem with $100,000.
The crypto community found out who the employee was and how much money they made. They bought UUU tokens for around $6,200 and sold some for $113,600.
Binance has had problems with employees using inside info before. So, they’re making new rules to stop it. Now employees can only invest up to $5,000 per year in crypto.
A Binance spokesperson said they regularly review their policies and encourage employees to use their products responsibly.
The company’s policies have changed over time. In 2018, employees could store crypto but had to get permission to trade. In 2023, they weren’t allowed to trade futures, and there were limits on selling assets.
Binance has also improved how they list new tokens. They offer rewards for people who report illegal activities by employees.
Remember, investing in crypto is risky. Make sure you know what you’re doing and follow the rules.