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Binance raises market maker rebates after record $6.3B hack

Binance raises market maker rebates after record $6.3B hack

Days after the breach, the exchange reached out to smaller trading firms with higher spot and futures rebates in a bid to bring activity back to its venue. Binance ranks market makers in tiers based largely on the liquidity they provide, and higher tiers earn larger rebates.


Under the temporary plan, Tier 2 and Tier 3 market makers reportedly get the same rebate rates as Tier 4, the top tier, for one week. The goal is to pull in more mid-sized firms and rebuild order-book depth.



Bitcoin order-book depth on Binance reportedly fell about 30% in the 24 hours after the breach, from roughly $45M to $32M within 1% of the price.


Binance halted withdrawals after confirming the hack on Oct. 29 and resumed them on Nov. 1. Net outflows reached about $4.7B by Nov. 2. The FBI attributed the attack to North Korean hackers, and Binance has pledged to cover user losses.