17 Mar 2025

light mode

Bots on X: Binance’s Ex-CEO Proposes a Fix

Bots on X: Binance’s Ex-CEO Proposes a Fix

With bots flooding X, Changpeng Zhao (CZ) is calling on Elon Musk to take immediate action—suggesting a full API shutdown to prevent automated manipulation.

On this page

The issue of automated accounts and API-generated posts on X remains a major concern. These bots are used to flood the platform with posts and messages, a practice that not only tarnishes the reputation of the social network but also introduces significant security risks and the potential for fraud—affecting everyone from regular users to prominent crypto industry stakeholders.

The Bot Epidemic: Origins and Scale

X is facing a bot crisis, with thousands of fake crypto accounts engaging in automated scams. These bots target users with fake investment schemes, spreading fraudulent token promotions and impersonating crypto KOL’s

Since Elon Musk’s X takeover, the debate over bot fraud in crypto has only intensified. While some measures have been introduced, the X spam issue remains a serious concern. Without more aggressive actions, fake crypto accounts could continue manipulating markets and deceiving investors.

Yeah, those Automated comments are really annoying. If I want to chat with bots, I got Grok in a private window here,

CZ expressed.

With AI-driven bots now utilizing advanced LLMs, spotting fraudulent activity on X is becoming increasingly difficult. These bots can craft coherent, engaging content, making them more deceptive and harder to eliminate.

CZ, however, made a key distinction: not all AI-powered tools are harmful. While intelligent agents help automate useful tasks like booking hotels or coding, their malicious counterparts flood X with spam, disinformation, and coordinated manipulation, threatening crypto markets and public discourse.

Check this out: Crypto Trading Bots – How to Decide If You Need One

X Users Rally Behind CZ’s Anti-Bot Push

CZ’s statement struck a chord with many X users, who argue that automated accounts have overwhelmed the platform. While some bots are upfront about their status and don’t engage in scams, they still contribute to content saturation, making it harder for users to discover meaningful discussions.

I agree. It was cool for a few days and now I hate it. I would be ok with AI accounts posting tweets to their own feed because the content can be genuinely helpful. However, having them in replies is equal parts annoying and creepy,

noted crypto blogger Lady of Crypto.

Crypto Bots: A Hidden Threat to Market Stability

At first glance, bots seem like a minor annoyance, flooding X and Telegram with spam. But their impact on the crypto market is far more dangerous. These automated systems are frequently used in manipulative trading, driving false market trends that can wipe out millions in investor capital.

Related: Malicious Telegram Bots See 2000% Surge in Use by Scammers

The result? A growing trust crisis. With bot-driven scams infiltrating social platforms, distinguishing legitimate crypto projects from fraudulent schemes is becoming increasingly difficult, forcing investors to navigate a minefield of misinformation.

CZ’s statement highlights a critical need for change in how X handles content filtering. By disabling API-based posting, the platform could significantly disrupt bot operations that rely on automation to spread spam and manipulate markets.

However, long-term solutions require a joint effort—from platform developers to regulators and crypto investors—to ensure the integrity and trustworthiness of digital spaces.

Read on: Bots in Crypto: Their Roles, Impacts, and Detection Methods

The content on The Coinomist is for informational purposes only and should not be interpreted as financial advice. While we strive to provide accurate and up-to-date information, we do not guarantee the accuracy, completeness, or reliability of any content. Neither we accept liability for any errors or omissions in the information provided or for any financial losses incurred as a result of relying on this information. Actions based on this content are at your own risk. Always do your own research and consult a professional. See our Terms, Privacy Policy, and Disclaimers for more details.

Articles by this author
OKX Freezes OKX Web3 DEX Aggregator Amid Regulatory and Security Concerns

OKX Freezes OKX Web3 DEX Aggregator Amid Regulatory and Security Concerns

OKX has taken immediate action to suspend its DEX aggregator, OKX Web3, citing coordinated attacks by Lazarus hackers and increased regulatory scrutiny as key factors.

Dmytro Psevdonimenko
Bitcoin at $83,000—Markets Await Federal Reserve Policy Update

Bitcoin at $83,000—Markets Await Federal Reserve Policy Update

Bitcoin remains locked at $83,000, as uncertainty over the Fed’s interest rate decision puts the entire crypto market on edge.

Anton Kryshtal
Pump․fun Meme Coin Launches Collapsed To 0.82%

Pump․fun Meme Coin Launches Collapsed To 0.82%

The Pump․fun platform has recorded an unprecedented drop in the weekly graduation rate of meme coins – for the first time, it fell below 1%, reaching 0.82%.

Anton Kryshtal
Senate Banking Committee Passes Stablecoin Bill: What the Genius Act Means 

Senate Banking Committee Passes Stablecoin Bill: What the Genius Act Means 

The Senate Banking Committee has endorsed the Senate Stablecoin Bill GENIUS (Guiding and Establishing National Innovation for U.S. Stablecoins), which seeks to set up a clear regulatory framework for payment of stablecoins.

Anahit Avetisyan
What’s Trending in Crypto Today? OKX Pauses DEX, Flashbacks to Gensler

What’s Trending in Crypto Today? OKX Pauses DEX, Flashbacks to Gensler

OKX DEX Service pause, Gary Gensler’s MIT lecture, and Bitcoin price analysis are among the top trending topics on X (Twitter).

Anahit Avetisyan
How the Ethereum Foundation Is Shaping the Future of Crypto

How the Ethereum Foundation Is Shaping the Future of Crypto

For over a decade, the Ethereum Foundation has been the driving force behind Ethereum’s growth—from Vitalik Buterin’s white paper to a global financial and technological revolution.

Ivan Dikalenko
The Biggest Tweets in Crypto This Week: SEC vs Ripple Updates & More

The Biggest Tweets in Crypto This Week: SEC vs Ripple Updates & More

Summing up this week in Crypto Twitter/X: major announcements, updates, rumors, and interesting takes on the SEC vs Ripple case, Ethereum’s updates, the Trump family deal with Binance, and more.

Anahit Avetisyan
Uniswap v4: The Game-Changing DEX Upgrade

Uniswap v4: The Game-Changing DEX Upgrade

In February 2025, the Uniswap team officially launched the 4th version of its protocol. Uniswap v4 is not only the biggest upgrade in the platform’s history but also a major milestone for the entire DeFi ecosystem.

Vlad Vovk
Best Blockchain Courses to Boost Your Career in Web3

Best Blockchain Courses to Boost Your Career in Web3

The Web3 industry is booming, but universities aren’t ready. Private education platforms are stepping in—here’s where to find the best Web3 developer education.

The Coinomist
What Is Fiat Currency and Its Role in the Crypto World?

What Is Fiat Currency and Its Role in the Crypto World?

Discover fiat currency—a government-issued money without intrinsic value—and learn how it interacts with cryptocurrencies and influences digital financial systems worldwide.

The Coinomist
How to Short Crypto Safely and Effectively: Tips and Strategies

How to Short Crypto Safely and Effectively: Tips and Strategies

Learn advanced strategies for shorting crypto safely. This guide covers key tips, risk management techniques, and various methods like direct shorting, futures, margin trading, and options.

The Coinomist
Risk Reversal: A Deep Dive into Best Practices

Risk Reversal: A Deep Dive into Best Practices

Explore risk reversal strategies and learn best practices for managing risks in trading and business. Understand how to balance risk and reward to optimize outcomes.

The Coinomist
World Bridge Currency: Is XRP the Future of World Bridge Currencies?

World Bridge Currency: Is XRP the Future of World Bridge Currencies?

Explore XRP as a potential world bridge currency. Learn how its speed, low fees, and scalability could transform global cross-border transactions and reshape financial systems.

The Coinomist
Trump’s “US Crypto Reserve” Plan: A Game Changer or Just Talk?

Trump’s “US Crypto Reserve” Plan: A Game Changer or Just Talk?

It takes just one post from Trump to stir the crypto market. Recently, he announced on Truth Social that the evaluation of a strategic crypto reserve is in progress as part of his broader Trump crypto policy.

Anahit Avetisyan
Trump’s Crypto Tax Plan: Smart Policy or Risky Gamble?

Trump’s Crypto Tax Plan: Smart Policy or Risky Gamble?

There’s been a lot of talk about possible changes to crypto tax policies in the U.S. One of the more controversial ideas floating around is “Trump no tax on crypto.” As Trump adopts a more crypto-friendly stance, major rumors have surfaced that he’s considering a 0% tax on crypto gains.

Anahit Avetisyan
MORE
Wealth, Influence, and Bitcoin: The Market Moves of the Ultra-Rich

Wealth, Influence, and Bitcoin: The Market Moves of the Ultra-Rich

Billionaires have a significant impact on digital asset prices, often driving instability and engaging in crypto market manipulation. This view is echoed by American entrepreneur David Wolfe.

The Coinomist
The New Crypto Sports Economy: Sponsorships, Fan Tokens, and NFTs 

The New Crypto Sports Economy: Sponsorships, Fan Tokens, and NFTs 

Crypto companies are shaking up crypto sport, partnering with clubs and stadiums for high-profile sponsorships. This means big bucks for athletes, thanks to advertising and fan tokens.

The Coinomist
MORE