Binance suspends employee for insider trading, pursues legal action

Binance announced on X that it has immediately suspended an employee and is pursuing legal action for using internal information for personal gain. The company stated it received a tip on Dec. 7 regarding the employee's activities. An investigation confirmed that the employee had posted information to an official account related to a specific token that was issued on-chain at 5:29 a.m. UTC that day. Binance deemed the action a clear abuse of authority and a violation of its internal regulations and code of ethics. In addition to the suspension, further disciplinary procedures are underway, and the exchange is cooperating with law enforcement in the employee's region. Binance added that it will strengthen its internal controls to prevent similar incidents and welcomes community monitoring, asking that any future tips be sent via its official email channels.