Cryptocurrency exchange Binance has confirmed a major security incident that could have affected approximately US$6.3 billion (~RM25.5 billion) worth of digital assets. However, this figure is an estimate and should not be taken as the confirmed amount stolen. The exchange has yet to disclose a full breakdown of the affected assets or the final extent of the losses.
In an official statement, Binance said its initial investigation suggests that the incident may have originated from a compromised laptop belonging to a DevOps engineer. This allegedly allowed an attacker to gain access to a service container and submit unauthorised withdrawal transactions.
The exchange added that it has found no evidence of any wallet private key leaks, although its investigation is still ongoing. It intends to publish a detailed technical post-mortem once all the relevant facts have been verified.
Around US$3 Billion In Assets Frozen
As part of its recovery efforts, Binance said it has worked with blockchain partners to freeze approximately US$3 billion (~RM12.2 billion) worth of affected assets on-chain so far. The exchange is continuing to work with law enforcement agencies and industry partners to trace and recover the remaining assets.
As an immediate precaution, Binance has temporarily suspended deposits and withdrawals while conducting security checks. It has also revoked the affected address authorisation to prevent further unauthorised transactions. The exchange is also working with blockchain intelligence partners and law enforcement agencies to identify those responsible.
Binance Says It Will Cover All Losses
Despite the scale of the incident, Binance maintains that user funds remain safe. The company says it will cover all losses through its SAFU fund and corporate reserves, while also promising to publish an updated Proof of Reserves once its remediation efforts are complete.
For context, SAFU is an emergency insurance fund established by Binance to protect users in extreme situations. The exchange has previously committed to maintaining the fund at a value equivalent to US$1 billion.
This is not the first time a blockchain associated with Binance has suffered a major security breach. Back in October 2022, BNB Chain was hit by an exploit involving its cross-chain bridge, resulting in the theft of approximately US$100 million (~RM405 million) worth of BNB tokens. Binance subsequently suspended transactions on the network while the issue was being addressed.
