Binance Confirms Major Cyberattack As Over $2.5bn In Cryptocurrency Assets Frozen

Binance Confirms Major Cyberattack as Over $2.5bn in Cryptocurrency Assets Frozen Cryptocurrency exchange Binance has confirmed a major cyberattack targeting its platform, with billions of dollars in digital assets reportedly affected and more than $2.5 billion frozen through coordinated efforts involving cryptocurrency firms and blockchain security partners. The development has raised fresh concerns about cybersecurity in the global cryptocurrency industry, with Binance temporarily suspending withdrawals and conducting security checks following the incident. Binance, the world’s largest cryptocurrency exchange by daily trading volume, initially described the incident as a potential security breach before confirming the scale of the attack. The company assured customers that their funds remained safe and pledged to cover all losses arising from the incident. In a subsequent security update, Binance put the estimated total impact of the incident at approximately $6.3 billion. The exchange disclosed that approximately $3 billion in affected assets had been frozen on the blockchain through cooperation with industry partners. The initial reports had put the amount frozen at about $2.54 billion, but the figure increased as additional cryptocurrency companies joined efforts to trace and restrict the movement of affected assets. Blockchain analytics firms have also been investigating the scale of the incident and tracking the movement of the digital currencies. According to Binance, preliminary investigations suggested that the attack may have involved a compromised laptop belonging to a DevOps engineer. The breach allegedly enabled an unauthorised individual to gain access to a service container and execute unauthorised withdrawal transactions. The company said it had found no evidence that private keys belonging to its cryptocurrency wallets had been leaked. Binance added that it had revoked the affected address authorisation and was working with law enforcement agencies and blockchain intelligence organisations to trace the assets. It promised to release a detailed technical report after completing its investigation. Major cryptocurrency companies have participated in efforts to freeze assets connected to the incident. Tether, the issuer of the USDT stablecoin, disclosed that it had frozen approximately $1.6 billion linked to the potential Binance attack. Circle, which issues the USDC stablecoin, also reported freezing more than $800 million in related assets. Other cryptocurrency industry participants reportedly joined the coordinated response to prevent the movement of the affected funds.Blockchain investigation firm TRM Labs said it had high confidence that the attack was linked to TraderTraitor, a hacking group associated with North Korea. The assessment was based on similarities between the Binance incident and previous cryptocurrency thefts attributed to North Korean-linked cybercriminals. The group has previously been linked to major cryptocurrency attacks, including the February 2025 Bybit incident, in which approximately $1.5 billion was stolen. However, Binance has not independently confirmed the identity of those responsible for the latest attack. The incident triggered volatility across cryptocurrency markets, with major digital assets recording price declines following reports of the security breach.Bitcoin and Ethereum experienced significant drops, while Binance’s native cryptocurrency, BNB, also came under selling pressure. Market observers expressed concerns about the potential consequences of the attack for investor confidence and the security of centralised cryptocurrency exchanges.Binance said it was working around the clock with relevant partners and law enforcement authorities to resolve the incident.The exchange reiterated its commitment to protecting customer assets and maintaining the security of its platform.