TLDR
- Hackers stole about $6.3 billion from Binance on Thursday, the largest crypto theft on record.
- Industry partners froze roughly $3 billion, and Binance says it will cover all losses with company funds.
- Attackers used Ethereum’s EIP-7702 feature to take control of a hot wallet, and TRM Labs linked the attack to North Korea’s TraderTraitor group.
- Binance found more breaches beyond a suspected compromised laptop and plans to reopen withdrawals in stages on Sunday.
- A proof-of-reserves report is due Monday.
Hackers stole about $6.3 billion from Binance on Thursday. It is now the largest cryptocurrency theft on record.
Binance Co-Founder He Yi Explains the $6.3 Billion Hack
On October 30, 2026, Binance co-founder He Yi @heyibinance said Binance had suffered a cyberattack affecting approximately $6.3 billion in assets, of which around $3 billion had been frozen with assistance from industry… pic.twitter.com/3mtKrqkYdi
— Wu Blockchain (@WuBlockchain) October 31, 2026
Industry partners have frozen roughly $3 billion of the affected assets. Binance has not said how much of the stolen crypto has been returned to its control.
TRM Labs traced the first unauthorized transfers to around 8:05 pm UTC on Thursday. Binance wallets were drained across several blockchains.
The attackers targeted hot wallets. Exchanges keep these wallets connected to the internet to process withdrawals.
TRM Labs linked the attack to North Korea’s TraderTraitor group. The FBI blamed the same group for the $1.5 billion Bybit theft in February 2025. Binance has not publicly confirmed who the attackers were.
How the Attack Worked
Binance co-CEO Richard Teng said the attackers used an EIP-7702 delegation. This Ethereum feature lets a wallet authorize software to act on its behalf. Teng said it gave the attacker control of a hot wallet without passing Binance’s normal approval checks.
TRANSCRIPT:
Hi everyone, firstly, I want to thank you all for the support. Difficult times like these are a great reminder how strong our industry is when we work together.We are grateful to our partners that acted quickly to freeze the hacked assets; to global law…
— Richard Teng (@_RichardTeng) October 30, 2026
Teng also said a “self-destruct mechanism” erased tools and traces. This made the investigation harder.
“To be clear: the attacker did not simply use one engineer’s permissions, and this was not a single ‘one-click’ action,” Teng said.
Blockaid CEO Ido Ben-Natan said compromised signing systems likely enabled the theft. He said attackers could have stolen the funds without EIP-7702, but it may have helped them bypass safeguards.
Binance said investigators found more breaches beyond the first suspected compromised employee laptop. The exchange said it saw no evidence that wallet private keys leaked.
Chainalysis saw thousands of quick transactions that could point to automated laundering. Funds moved among addresses and sometimes returned to wallets used earlier.
Binance Promises to Cover Losses
Binance said it has reserved more than $6.34 billion in company funds to cover the losses. That includes $5 billion already held in the affected tokens.
The exchange is buying the remaining tokens through exchanges and over-the-counter deals. A spokesperson declined to share wallet addresses, citing security. CertiK said it needed more information to verify the holdings.
Teng said the attack hit Binance’s own hot wallet, not customer funds. A CoinDesk review of reserve data found the compromised wallets were earlier listed among assets backing customer balances.
The theft rattled crypto prices. Decentralized lender Aave paused new deposits and borrowing as a precaution, then reopened its markets Friday afternoon.
Binance withdrawals remain suspended while the company rebuilds and tests its systems. Deposits and other unaffected services are still running.
Binance aims to begin reopening withdrawals in stages on Sunday, Nov. 1, once security checks are done. It plans to take a proof-of-reserves snapshot within 12 hours of its announcement, with results due Monday. The company also expects to share more technical findings within about 48 hours.
Stop guessing and start investing with confidence. KnockoutStocks gives you the AI insights, market intelligence, and stock research you need to spot opportunities, cut through the noise, and make smarter investment decisions — all in one powerful platform.
Sign up today and get 50% OFF full access to our premium stock picks.
Simply use coupon code SPECIAL50 at checkout to claim your exclusive discount.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
