FBI links $6bn Binance theft to North Korean hackers

The FBI says North Korea was behind the theft of more than $6 billion in virtual assets from Binance on or about October 29, making it the largest crypto heist on record. The bureau named the activity TraderTraitor and urged crypto firms to block wallets tied to the stolen funds, according to the FBI’s October 31 alert.

The FBI says it and its government partners have seen the hackers convert stolen assets mainly into ether, the cryptocurrency used on Ethereum. The agency expects them to use DeFi services, which let people trade crypto without a central exchange, and instant swaps to move the funds further.

How much was taken from Binance?

The FBI puts the theft above $6 billion. The Associated Press reported Binance said hackers took $6.3 billion in bitcoin and other digital currencies on Thursday. The AP described it as the largest cryptocurrency theft on record.

Binance said it had enough of the same digital currencies set aside to cover 90% of the missing assets and promised customers would be fully reimbursed, the Associated Press reported. The FBI’s alert does not say how much of the stolen money has been recovered or whether the full loss estimate could change.

What does the FBI want crypto firms to do?

The FBI, the U.S. Secret Service and the Internal Revenue Service’s criminal investigation unit are asking exchanges, DeFi services, blockchain operators and other firms to block transactions connected to addresses linked to TraderTraitor. The FBI published a list of those addresses in its alert.

The agency says the stolen funds are being moved toward further laundering. It has not publicly described the method used to break into Binance in the alert. The AP reported that President Donald Trump said investigators were still learning about the case and that they did not yet know whether North Korea was involved.

References

• FBI’s October 31 alert — fbi.gov
• Associated Press reported — apnews.com