Binance pledges to cover all losses from $6.3bn security incident

“Binance's initial investigation suggests that the security incident may involve a compromised DevOps engineer’s laptop, which allowed an attacker to gain access to a service container and submit unauthorized withdrawal transactions. We have found no evidence of any wallet private key leak. We will share a detailed technical post-mortem once the investigation is complete and the facts are fully verified.

The estimated total impact sits at around $6.3B. We have worked with blockchain partners to freeze affected assets, with ~$3 billion frozen on-chain so far.

Binance will cover all losses from the SAFU fund and the company’s funds. User funds are safe. Deposits remain unaffected and continue to operate as normal. We will also publish an updated Proof of Reserves once the remediation is complete.

As an immediate precaution, Binance has:

• Temporarily suspended withdrawals while our team completes a security revamp of the withdrawal service and its related addresses.
• Revoked the affected address authorisation.
• Engaged law enforcement and blockchain intelligence partners to trace and recover funds.

Our teams are working around the clock to resolve this issue safely and thoroughly. We are working closely with our law enforcement partners to confirm the identity of these criminals and bring them to justice.”

Attribute to Binance Spokesperson.