Binance says security incident affected about $6.3 billion
Binance says a security incident may have enabled unauthorized withdrawals worth about $6.3 billion; roughly $3 billion is frozen as withdrawals stay paused.
Binance says a security incident may have enabled unauthorized withdrawal transactions with an estimated impact of about $6.3 billion, while withdrawals remain paused during a security review. In its October 30 security update, the exchange said it had found no evidence that wallet private keys were leaked. The Associated Press reported on Binance’s initial disclosure that it was investigating a potential security issue.
Binance’s preliminary account points to a DevOps engineer’s laptop that may have been compromised. The attacker may then have gained access to a service container and submitted unauthorized withdrawal transactions. Binance has not published the full technical account, saying it will do so after the investigation is complete and the facts are verified.
How much has Binance frozen so far?
Binance says about $3 billion of the affected assets has been frozen on-chain, meaning the assets were blocked on public blockchain networks. It is working with blockchain partners, law enforcement and intelligence firms to trace and recover more funds. The exchange has also revoked authorization for affected addresses.
The $6.3 billion figure is Binance’s estimate of the incident’s total impact. The company has not yet published a final accounting or detailed how that estimate was calculated. It says it will share a technical post-mortem once the review is finished.
Are deposits and withdrawals still affected?
Deposits are operating as usual, Binance said in an update to its announcement. Withdrawals remain temporarily suspended while the exchange completes security checks. The company has not given a confirmed time for withdrawals to resume.
Binance says user funds are safe and that it will cover all losses using its Secure Asset Fund for Users, known as SAFU, and company funds. It plans to publish updated proof of reserves after remediation is complete. Proof of reserves is a report of assets held to back customer balances.
What is still unknown about the incident?
Binance has not confirmed the full path the attacker used, the final amount of losses, or who was responsible. Its statement describes the compromised laptop as a possible entry point, not a settled finding. The company says it is working with law enforcement and other partners to identify those responsible and recover assets.
References
- October 30 security update — binance.com
- reported on Binance’s initial disclosure — apnews.com