Binance, the world’s largest cryptocurrency exchange, has officially launched a comprehensive $400 million recovery and confidence-rebuilding plan, dubbed the “Together Initiative,” following a period of extreme market volatility that impacted users and institutions across the industry.
The multi-million dollar program is designed to provide financial relief to individual traders who suffered significant liquidation losses, as well as liquidity support for institutional partners impacted by the recent macroeconomic downturn and subsequent crypto crash.
The exchange emphasized that while it does not accept liability for market-driven user losses, the initiative is a proactive measure crucial for restoring trust within the nascent digital asset space.
$300 Million Earmarked for Individual Traders
The core of the plan allocates $300 million in USDC (USD Coin) to eligible retail users who experienced forced liquidations during the volatile period from October 10, 2025, 00:00 UTC, to October 11, 2025, 23:59 UTC. This timeline corresponds with what analysts have described as one of the largest single liquidation events in crypto history.
To qualify for the compensation, users must meet strict criteria:
- Incurred forced liquidation losses across Futures and Margin trading within the specified period.
- Total liquidation losses must be at least $50 equivalent.
- Total liquidation losses must represent a minimum loss ratio of 30% of the user’s overall net assets, based on a snapshot taken on October 9, 2025.
Compensation amounts will vary between $4 and $6,000 in USDC, determined by an assessment of the user’s loss amount, loss ratio, and other factors. Binance stated it aims to commence distribution within 24 hours, with the target of completing the process to eligible users’ Spot Accounts within 96 hours.
$100 Million for Institutional Support
In parallel, Binance is dedicating $100 million to an Institutional Support Program. This fund will provide low-interest loans to ecosystem and institutional users severely impacted by the market fluctuation.
The exchange expects this measure to inject momentum into the recovery of its ecosystem participants, alleviating liquidity pressures and ensuring stable operations for key partners. Eligible VIP and institutional users can submit applications through their dedicated account managers, with Binance promising strict confidentiality.
Rebuilding Industry Confidence
The move comes amid significant scrutiny for the industry leader following the crash, which saw reports of technical glitches and pricing issues across various platforms. The $400 million commitment is an additional layer of support, building upon previous, separate compensation plans announced shortly after the market event.
In a statement announcing the initiative, Binance affirmed its commitment to its “User Focus values.”
“We are doing this because we believe it is critical to rebuild industry confidence,” the announcement stated. “Ultimately, Binance chose to invest these resources where they are most needed: with our users. This stems from our belief in the long-term development of the industry.”
Binance concluded the announcement by reminding its community that the crypto market is volatile and urged users to invest rationally and exercise due diligence.
