The Twitter debate on plagiarism between BitMEX and Binance has got its sequel. Since the two most prominent cryptocurrency platforms have become competitors, the rivalry spilled over on Twitter in a back-and-forth exchange between the CEOs of the two exchanges.
This comes in the aftermath of a Changpeng Zhao (CZ) tweet about an accidental ‘attack’ on Binance’s new futures market. CZ tweeted that a market maker tried to attack their futures platform and no one got liquidated thanks to their liquidation policy, implying innovation on Binance’s side.
Zhao revealed that the reason for this is that they use the index price, and not futures prices, for liquidations, calling this methodology their innovation.
The rebuttal from the community was quick to come since BitMEX has had its liquidations tied to the index price for a long time. Even more so, BitMEX’s CEO Arthur Hayes joined in and shared his thoughts in a sarcastic tweet, offering to teach Zhao copy-pasting methods for running a derivatives platform.
Next time I’m down in Singapore @cz_binance please attend my running a crypto derivatives platform 101. I teach advanced cntl+C cntl+V methods. Price of entry … 51% of your equity. https://t.co/RYGkf4aJih
— Arthur Hayes (@CryptoHayes) September 16, 2019
Zhao responded to the tweet, saying that his own choice of words was misleading and wasn’t intended to create this impression. He explained that he didn’t mean to call the index price liquidation methodology their innovation.
In the aftermath, the official Twitter account of BitMEX saw an opportunity for positive social engagement and posted that it’s “great to see traders on other exchanges being protected and benefitting from our innovation.”
The whole controversy between Binance and BitMEX has its roots in a previous situation where the former had published copy-pasted documentation from BitMEX for their futures platform.
Binance announced the launch of two futures testnet platforms and acquired a crypto-asset derivatives platform. The new futures platform had a separate page on Auto Deleveraging, which as it turned out had the same content as the one on BitMEX.
— BitMEX (@BitMEXdotcom) September 4, 2019
On that particular occasion, CZ had simply apologized and stated that they didn’t do their due diligence, and promised to replace the plagiarized documents. He went on and promptly uploaded the links for official documents of futures to be reviewed by BitMEX.