Binance launches investigation into BOME insider trading allegations

Crypto exchange Binance recently announced the initiation of a detailed investigation into the claims concerning Book of Meme (BOME), a Solana-based meme coin. 

This move came in response to allegations and community discussions about possible insider trading linked to the “BOME rat warehouse” incident. The exchange made an official statement on the X platform highlighting its commitment to market fairness and transparency and emphasizing the immediate start of an internal inquiry following these allegations.

The announcement from Binance indicated that the investigation was triggered by concerns over potential insider trading involving BOME. The goal was to assess any Binance personnel’s involvement in the matter. However, Binance’s preliminary investigation findings reported that the individual in question has no ties with the exchange.

Furthermore, Binance has called on individuals possessing information on any wrongdoing, including insider trading or corruption related to currency listings, to report such incidents. The exchange has committed to offering rewards between $100,000 and $5 million for confirmed reports while ensuring the anonymity of whistleblowers.

Additionally, the exchange has reiterated its commitment to conducting comprehensive investigations into the allegations of misconduct in the BOME insider trading case and has maintained an openness to feedback from its user community.

The development comes on the heels of Binance disclosing its decision to list BOME, including specific spot trading pairs such as BOME/BTC, BOME/USDT, BOME/FDUSD, and BOME/TRY, starting March 16 at 12:30 UTC. Notably, the listing fee was set at 0 BNB as a demonstration of support for the meme token’s inclusion on the platform. 

Binance has also introduced the USDS-M BOME Perpetual Contract on its Futures platform, with leverage options up to 50x. Following the listing announcement, BOME’s value surged by 345% on March 16 to reach $0.02703, with its trading volume increasing by 262% to $3.8 billion. This placed BOME ninth among the most-traded cryptocurrencies. Since its market introduction on March 14, BOME has seen an extraordinary rise of over 39,000% from its all-time low.