Binance has been hit by the largest hack in crypto history, after hackers stole $6.3 billion from Binance wallets. The hack has been attributed to a North Korean hacking unit called TraderTraitor.
The hack has sent shockwaves across the crypto ecosystem, with Bitcoin (BTC) and major altcoins falling sharply. The flagship cryptocurrency dipped as low as $76,418 according to CoinMarketCap, while Ethereum (ETH), Solana (SOL), Ripple (XRP), and other tokens recorded substantial declines as news of the exploit broke.
Crypto Reels After Binance Hack
Binance confirmed the hack on Thursday, adding that it had frozen nearly half of the stolen funds. It also said user funds were safe and that the platform would cover losses users suffered due to the hack. The hack dwarfs the $1.5 billion Bybit hack in 2025. Blockchain analytics firm TRM Labs attributed the exploit to North Korean-affiliated hackers called TraderTraitor, citing โrobust on-chain and off-chain intelligence.โ TRM stated, โSeveral features of this attack match earlier North Korea-linked heists.โ
Chainalysis backed TRM Labs, stating it was likely that North Korea was involved in the attack.
Binance later issued an update estimating losses of $6.3 billion, adding that it had already frozen $3 billion with the assistance of blockchain partners. Binance.US, the companyโs US trading arm, was not impacted by the issue.
Tether And Circle Freeze Billions
Stablecoin issuers Circle and Tether were among the first entities to take steps to mitigate the hackโs impact. The crypto platforms have frozen around $2.4 billion in crypto linked to the exploit. Circle CEO Jeremy Allaire said the company had frozen around $800 million and was closely monitoring the situation. Tether CEO Paolo Ardoino confirmed the USDT issuer had frozen $1.6 billion linked to the exploit and highlighted that protecting the industry must be every firmโs priority.
World Liberty Financial also said it had coordinated with its partners to freeze stolen assets, while Coinbase said it was monitoring the situation but was not impacted by the exploit.
Binance Suspends Deposits And Withdrawals
Binance temporarily halted all deposits and withdrawals on Friday at 00:30 GMT, as its team conducted security checks and worked with law enforcement to freeze stolen funds. The platform said the figures linked to the exploit may rise as investigations continue.
โThis figure may continue to increase as our teams work closely with law enforcement, issuers, blockchain intelligence firms and industry partners to trace and freeze additional assets.โ
The platform initially said the exploit occurred because a DevOps engineerโs laptop was compromised. The vulnerability allowed hackers to access a service container and execute unauthorized transactions. However, further investigations revealed additional points of breach, with co-CEO Richard Teng confirming the attack was not a single โone-clickโ exploit. Binance has said it will share a detailed post-mortem of the exploit once its investigation is complete.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
