Wintermute CEO Wipes the Floor with Binance Lawsuit Rumors, Puts FUD to Bed

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Evgeny Gaevoy, the charismatic CEO and Founder of Wintermute, the crypto market maker you didn’t know you needed, has decisively crushed the wild rumors circulating that his firm is preparing to sue Binance after the October market crash. Yes, the one where $20 billion in leveraged positions vanished faster than your lunch hour. (No, really, it was gone in a flash.)

On X (formerly known as Twitter, but let’s not get into rebranding), Gaevoy made it abundantly clear that, despite the growing online chatter, his plans do not include filing a lawsuit against Binance, nor does he have any future plans to do so. If anything, he’s probably too busy running Wintermute to get involved in legal drama.

Literally nothing changed since this tweet and we never had plans to sue Binance, nor see any reason to do it in future.

I should probably ask to make a note of all the people spreading baseless rumors, but most of people believing these have goldfish memory capacity, so I won’t.

– wishful_cynic (@EvgenyGaevoy) November 3, 2025

Gaevoy was responding directly to mounting rumors that Wintermute had suffered massive losses and was preparing to take Binance to court. These rumors surfaced shortly after the October 10 crash, which turned crypto markets into something resembling a tornado made of dollar bills and despair.

WhalePump’s Wild Ride: The FUD Begins

It all started with a mysterious figure on X, “WhalePump Reborn,” who made the bold (and apparently unfounded) claim that Wintermute was being hurt by Binance’s auto-deleveraging (ADL) mechanism. According to this source (and we use the term loosely), Wintermute was allegedly knocking on Binance’s door demanding compensation. The kind of claim that gets Crypto Twitter all hot and bothered.

Gaevoy, never one to shy away from a bit of verbal fencing, fired back with a simple “What a larp, all complete bullshit.” And just like that, the rumors were zapped, but not before spreading like a wildfire in a field of dry, fear-driven tweets.

As if the crypto world didn’t have enough chaos, even Binance’s former CEO, the legendary Changpeng “CZ” Zhao, decided to weigh in. With 10.4 million followers hanging on his every word, he advised people to trust only verified information. And yes, if you’d been believing the rumors, he strongly suggested it might be time to hit the unfollow button.

The $20 Billion Liquidation Debacle

The October 10 crash, the crypto world’s equivalent of a bad hair day, was one for the history books. Within hours, more than $20 billion in leveraged positions were obliterated, thanks to a perfect storm of margin calls, thin liquidity, and, oh yes, a tweet from U.S. President Donald Trump about China tariffs. Naturally, Bitcoin’s value plummeted faster than a rock falling off a cliff, taking altcoins and derivatives along for the ride.

Binance, to its credit, stepped up and confirmed it had compensated traders to the tune of $283 million after some synthetic assets like USDe, BNSOL, and WBETH went off-peg during the turmoil. Binance also unveiled a $400 million recovery initiative. They’re clearly in the business of making sure people don’t start throwing things at their screens in frustration.

Whether Wintermute was one of the lucky recipients of Binance’s financial lifeline remains shrouded in mystery. But what is clear is that the company, as of now, is doing just fine, thank you very much.

Gaevoy’s “Wintermute is Fine” Tour

Gaevoy, ever the calm in the storm, took to X again on October 11 to reassure his followers that Wintermute had weathered the crash like a seasoned sailor in a storm. “Sorry to disappoint you, but Wintermute is perfectly fine, business as usual,” he wrote, because nothing says “we’re good” like not indulging in a legal battle.

During his guest appearance on the “Big Brain” podcast, Gaevoy acknowledged that some of Wintermute’s liquidations did occur at “very weird” and “completely ridiculous” prices. But no worries! His team’s systems performed as designed, and risk controls worked like a charm. The firm was still standing strong-phew.

Blockchain data also revealed that Wintermute, a massive liquidity provider to Binance, had transferred over $700 million in digital assets to Binance just hours before the crash. And, in true routine fashion, they pulled it back shortly afterward. Classic liquidity ops, no emergency here!

The FUD Fades, and Stability Prevails

Wintermute’s quick and clear response helped calm the crypto markets. Traders and onlookers took Gaevoy’s denial as a sign that major market makers like Wintermute were still in the game, even after the October crash. Which is kind of a relief, honestly. The last thing anyone needs is a repeat of the 2022 collapse when firms like Three Arrows Capital and Alameda Research left everyone scrambling to find their footing.

Binance: Crisis Averted, Again

As for Binance, they’ll be sleeping a little easier knowing that no legal battles are on the horizon (for now). After all, this year has already seen its fair share of regulatory headaches, and yet Binance still rules the roost when it comes to global crypto trading volume.

By compensating traders and launching a recovery fund, Binance showed that, unlike some exchanges that prefer to stay quiet and let the FUD fester, they were ready to take responsibility. And, shocker, it worked! They managed to keep the ship afloat while others were still figuring out which direction to row.

The FUD Cycle: Lessons Learned

In the end, this whole Wintermute saga illustrates just how quickly rumors can spread in crypto and turn a calm market into a full-blown panic. One careless tweet, and suddenly you’ve got traders clutching their portfolios like they’re about to lose their last penny. But Gaevoy and CZ stepped in swiftly, nipping the FUD in the bud. Crypto Twitter might still be a volatile beast, but it’s slowly growing up, and at least some of its big players are finally learning how to handle a crisis with a little less drama.

The Calm After the FUD Storm

While the October 10 crash will forever be etched in the minds of traders as a reminder of the perils of high leverage and shaky liquidity, Wintermute’s level-headed response has reassured many that the key players in the market are still standing tall. And for Binance, the lack of a legal fight with Wintermute is just one less headache to worry about as they continue to tackle regulatory battles worldwide.

For Wintermute, this whole fiasco has only reinforced their image as a disciplined and drama-free trading firm. And honestly, after a market crash like that, who wouldn’t want to be known for keeping it cool in the chaos?

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2025-11-04 10:48