Crypto market meltdown: $19B wiped out as exchanges face outages and traders seek compensation
The cryptocurrency market was thrown into chaos on Friday after US President Donald Trump announced plans to impose 100% tariffs on China and introduce new restrictions on software exports. The shock move triggered one of the biggest crypto selloffs in years, sending prices tumbling across the board.
According to data from CoinGlass, more than $19 billion in leveraged positions were liquidated within 24 hours, making it one of the largest liquidation events in digital asset history. Over 1.6 million traders saw positions wiped out, with $7 billion lost in a single hour.
Bitcoin, which had reached an all-time high of $125,000 earlier in the week, dropped 16% to briefly touch $105,000 before recovering to around $112,000 on Saturday. Major altcoins saw even sharper declines, some plunging between 30% and 80%.
Exchange disruptions spark user frustration
As the liquidation wave spread, many users of centralised exchanges such as Binance, Bybit, and OKX reported technical issues, including failed orders, frozen balances, and temporary access problems. Several traders claimed they were unable to close positions or withdraw funds during the crash.
In response, Binance acknowledged intermittent service disruptions linked to “extraordinary trading volumes” and said it would review cases where users may have been directly impacted by system errors.
Other exchanges have yet to issue detailed statements, leaving many traders uncertain about whether they can recover their losses.
CyberClaims offers assistance for dispute resolution
Following the widespread technical issues, CyberClaims a dispute resolution platform specialising in crypto-related fund recovery has encouraged affected users to come forward.
“If you experienced failed transactions, withdrawal delays, or order execution issues during the recent market crash, you may have grounds for a dispute against your exchange,” CyberClaims said in a statement.
The company helps users review their account activity, compile evidence, and file structured disputes with exchanges and financial intermediaries to seek fair outcomes.
CyberClaims clarified that it does not compensate losses caused by market volatility, but focuses on cases where technical errors or platform malfunctions prevented users from acting during extreme market conditions.
DeFi protocols remain stable amid chaos
While centralised exchanges struggled to keep up, decentralised finance (DeFi) platforms handled record trading volumes without interruption.
Uniswap processed over $10 billion in daily volume, while Aave managed more than $180 million in liquidations, both without reported downtime. The event has reignited debate over the resilience of decentralised systems compared to centralised platforms.
A reminder of the importance of accountability
The $19B liquidation has once again exposed the fragility of centralised infrastructure in crypto markets. For investors caught in the chaos, the path to recovery may involve careful documentation and formal dispute processes.
If you believe your losses were caused by an exchange error or technical failure, CyberClaims can help you review your case and start a dispute.
Visit www.cyberclaims.net to submit your case and speak with a dispute specialist.
