Binance Users Withdraw $3.6bn After $6.3bn Hack

Customers of cryptocurrency exchange Binance withdrew approximately $3.64 billion following the platform’s resumption of withdrawal services after hackers stole about $6.3 billion worth of digital assets in a major security breach.

The withdrawals, recorded after the exchange began restoring services on Sunday, November 1, represented about 2.1 per cent of the assets held on the platform before the incident.

According to figures released by Binance, the exchange processed approximately $4.65 billion in withdrawals and $1.01 billion in deposits during the first nine and a half hours after withdrawal services resumed.

The company said withdrawal volumes initially surged but later began to stabilise, while deposits remained substantial.

Binance had temporarily suspended withdrawals for about 48 hours after detecting unauthorised withdrawals from its hot wallets on October 29. The exchange said the incident resulted in the loss of approximately $6.3 billion in digital assets.

The company subsequently began restoring withdrawal services in phases, prioritising cryptocurrencies and networks based on user demand and security checks.

The Federal Bureau of Investigation (FBI) attributed the attack to TraderTraitor, a cyber group linked to North Korea. The agency said the stolen assets were being converted into other cryptocurrencies and could be subjected to further laundering.

Binance said it would bear the financial impact of the breach and had set aside more than $6.34 billion in company funds to cover the stolen assets. It also said it had worked with law enforcement agencies, blockchain intelligence firms and industry partners to freeze approximately $3 billion of the affected funds.

The exchange said it had covered about 95 per cent of the stolen assets, with the remaining portion consisting largely of less-liquid tokens that could take longer to replace.

Binance, which has more than 335 million registered users worldwide, said it was strengthening its security systems and investigating how the attackers gained access to its infrastructure.

The incident has renewed concerns about the security of cryptocurrency exchanges and the risks of keeping large amounts of digital assets on centralised trading platforms.