Outages in crypto exchanges have resulted in losses for investors trying to become out in time. While Binance has been proactive in neutralizing such situations, numerous investors are reportedly seeking amercement due to the exchange'south inoperability.

Speaking to CNBC, a Binance spokesperson highlighted the company'southward policy that promises to compensate actual trading losses due to system or internal issues, only noted:

"Nosotros do non comprehend hypothetical 'what could have been' situations such as unrealized profits."

In some cases, when investors reached out for compensation in relation to the said outage, Binance's customer service squad reportedly offered a low rebate while refusing to comment on "awaiting legal matters."

Back on February. xi, Binance had to temporarily go offline after suffering an outage due to a 60% spike in its web traffic. Every bit a result, the exchange suspended "deposits, withdrawals, spot and margin trading, P2P trading, OTC Portal trading, savings & redemption, likewise as asset transfers from sub-accounts, margin accounts, futures accounts, and fiat wallets."

Related: Binance CEO wants to 'work with regulators' as the exchange expands

Binance has recently caught the attention of regulators across the world in relation to trading and licensing complexities. Binance CEO Changpeng Zhao has stated his intention to go licensed in every jurisdiction.

Zhao publicly offered Binance'due south CEO position to a person "with a strong regulatory groundwork." Currently, Binance is facing regulatory scrutiny from authorities across the world, including the Netherlands, Malaysia and South korea.

Aimed at damage control, Binance has proactively started implementing restrictions to lower the chances of high-risk trading — from limiting high-leverage trading to completely restricting derivatives trading.