Binance Shares 'Inside Story' On Dogecoin Withdrawals After Elon Musk And CZ Argument

Binance, the world’s largest cryptocurrency exchange by trading volume, sought to clear the air on what really happened with Dogecoin DOGE/USD last week.

What Happened: In a blog post titled "The Inside Story on DOGE Withdrawals," Binance shared details of a recent issue which prevented DOGE users to withdraw the cryptocurrency from Binance for 17 days.

“The truth is that a combination of unlikely factors led to an unforeseen issue that ultimately only affected Binance," the company said. “In short, if 1) your platform had listed DOGE all the way back in 2019, at v1.14.0 2) had transactions stuck in the wallet 3) had upgraded the wallet to v1.14.2 4) AND then updated to v1.14.5 — you can have an issue.

“Unfortunately for Binance, we had inadvertently threaded the needle with all of the above parameters, which led to the coins being re-sent and requiring a new wallet needed to be built.”

According to Binance, more than 1,634 users were sent old transactions as a result of the glitch.

The issue received major publicity last week after Tesla Inc TSLA CEO Elon Musk called out Binance CEO Changpeng Zhao “CZ” for the “shady” treatment of its DOGE customers.

I don’t use Binance (tried at one point, but signup was too many hoops to jump through), so no inconvenience to me personally. Just raising this issue on behalf of other Doge holders.

— Elon Musk (@elonmusk) November 23, 2021

CZ hit back at Musk’s comments by saying he was “pretty certain” the withdrawal issue was related to an upgrade to the Dogecoin wallet, while linking to a Nov. 2 article that detailed how a Tesla software glitch resulted in the recall of nearly 12,000 U.S. vehicles.

Musk responded by stating: “I don’t use Binance (tried at one point, but signup was too many hoops to jump through), so no inconvenience to me personally. Just raising this issue on behalf of other Doge holders.”

Price Action: At the time of publication, DOGE was trading at $0.2162, up 8% in the past 24 hours.

Photo: Executium on Unsplash