By Sohaib Shams
Binance, the world's largest cryptocurrency exchange, suffered a massive security breach Thursday with hackers stealing approximately $6.3 billion (£4.7 billion) in digital assets, prompting the platform to suspend deposits and withdrawals.
How the Hack Occurred
The attack, described by one insider as "the largest bank heist in human history," was confirmed by Binance founder Changpeng Zhao on X. The company said initial investigation suggests a compromised DevOps engineer's laptop allowed an attacker to access a service container and submit unauthorized withdrawal transactions.
North Korean Group Identified
Blockchain analysis firm TRM Labs attributed the hack to TraderTraitor, a North Korean state-sponsored hacking unit, with high confidence. TRM Labs said the attacker moved about $6.36 billion across ten blockchains in roughly 20 minutes, noting similarities to previous North Korean-linked incidents.
Currencies Stolen
Early reports indicate the stolen assets include roughly $1.5 billion in Bitcoin, a similar amount in Tether stablecoin, just under $1 billion in Ethereum, and a comparable sum in USDC stablecoin, with other currencies likely also taken.
Impact on Markets and User Funds
Binance assured users that funds are safe and losses will be covered. Zhao, who said he no longer manages the exchange, stated he expects all user funds to be fully covered. The exchange said it found no evidence of private key leaks and will release more technical details. The hack rattled cryptocurrency markets, driving Bitcoin to a six-week low of $77,876 before paring losses to trade 1.1% lower. Analysts warned negative price action may continue until assets are unfrozen and more details emerge.
