Elon Musk questions Binance CEO over ‘shady’ Dogecoin freeze

Billionaire Elon Musk has demanded answers from Binance CEO Changpeng Zhao, after a technical problem on the cryptocurrency exchange saw the accounts of Dogecoin users frozen.

In a blog post, Binance said an issue occurred with DOGE network withdrawals after a “version update” on November 10, and withdrawals of the meme coin would be suspended as it worked to resolve the issue.

Responding to a tweet from Zhao, Musk asked “what’s going on with your doge customers. Sounds shady.”

At the time of publication, Zhao (known as CZ) had not responded to the tweet, but Binance’s official account said “Hey @elonmusk – no, not shady – just frustrating and we’re working on it.”

“The root cause is a technical issue during the recent upgrade process that caused old transactions to be resent to 1,674 users,” the exchange said.

“The issue occurred on Binance – and not other platforms – because we have a different technical wallet set-up for DOGE.

“Since the incident occurred, DOGE Network has been providing us with support, but we have to rebuild the wallet entirely, which is causing a delay that we expect may last another week or so.

“It’s a long and complex process, but the team is working hard.

“We’re aware that 1) users who received old transactions and 2) users who cannot withdraw DOGE are upset – and rightly so.

“We’ve kindly asked those that receive the old transactions to return them, but we’re aware that select users are having trouble accessing some of the wallets. Our CS team is here 24/7 to help these users.

“To the rest of the community, we want to say that we recognize that this is not the standard of technical excellence you expect from us, but we are working our best to fix this issue.

“Thank you for your ongoing support.”

Elon Musk has been an outspoken supporter of Dogecoin, revealing that he owns the digital asset and causing major price spikes by posting DOGE memes on his Twitter account.

FURTHER READING: Police say former BinanceUS CEO Catherine Coley ‘not reported missing’

Asia Markets Partner