Binance reports $6.3 billion loss in suspected hack

Users of Binance, the largest cryptocurrency exchange in the world, face temporary restrictions on moving their money as the company investigates a security breach estimated to have cost it $6.3 billion. The incident, confirmed by the company on Thursday, marks one of the largest financial losses attributed to a digital asset hack on record. Binance has suspended all deposits and withdrawals while its engineers work to secure its systems.

The exchange stated that its initial investigation points to a specific entry point for the attackers. The company wrote that a compromised laptop belonging to a DevOps engineer allowed an unauthorized user to access a service container. This access enabled the attacker to submit withdrawal transactions that were not approved by the platform's standard controls. Binance noted that it found no evidence that the private keys for user wallets were leaked during the intrusion.

To limit the financial damage, Binance worked with blockchain partners to freeze affected assets immediately after detecting the issue. The company reported that roughly $3 billion in assets have been frozen on-chain so far. These actions were taken to prevent the stolen funds from moving further through the network and disappearing into anonymous accounts. The exchange said it is continuing to trace and freeze additional assets with the help of industry partners.

Major stablecoin issuers also reacted quickly to contain the spread of the compromised funds. Tether, which issues the USDT stablecoin, said it froze the equivalent of more than $1.5 billion in currency related to the incident. Circle, the issuer of the USDC stablecoin, froze the equivalent of more than $800 million in coordination with law enforcement. These freezes were announced by the CEOs of both companies on social media platforms on Thursday.

Changpeng Zhao, the founder of Binance, addressed the situation despite no longer holding the role of CEO. Zhao posted on X that the incident "does look like a hack on Binance." He assured followers that user funds are safe and said that as a shareholder, he expects all user funds to be fully covered. The company's spokesperson added that user funds are "completely safe" and that security teams are reviewing all relevant information with urgency.

The price of bitcoin responded to the news by dropping 3.2 percent on Thursday evening, falling below the $79,000 mark. The market reaction reflected investor concerns about the stability of the largest crypto exchange. Binance indicated that it will share more technical details once the investigation is complete and the facts are fully verified.

Zhao established Binance in 2017. He pleaded guilty to a felony in 2023 related to his failure to prevent money laundering on the platform and stepped down as chief executive that same year. President Donald Trump pardoned Zhao in 2025. Zhao was released from prison last year after serving a sentence for violating the Bank Secrecy Act, a law that requires financial institutions to monitor transactions and report suspicious activity. Prosecutors had stated that no one had previously violated those regulations to the extent Zhao did.

Binance said its teams are working around the clock to resolve the issue. The company is collaborating closely with law enforcement, issuers, and blockchain intelligence firms. It plans to provide updates through its official channels as soon as it has verified information. The suspension of deposits and withdrawals will remain in place until the security checks are complete and funds are secured.