Binance reserves over $6.34 billion in company funds to cover historic hack
Binance has set aside more than $6.34 billion of its own capital to make users whole following a major security breach, holding $5 billion in the affected tokens while buying the remainder on the market.
Binance has reserved more than $6.34 billion in corporate funds to cover all user losses stemming from a record security breach, the exchange announced. The company confirmed it already holds $5 billion in the exact crypto assets that were affected, while the remaining balance is being acquired through open-market and over-the-counter channels.[1][2][4][5][9][16]
The reserved funds are completely separate from approximately $3 billion in affected assets that have already been frozen with the help of industry partners. U.S. law enforcement agencies, including the FBI and Secret Service, have joined the response to trace and recover the stolen cryptocurrency alongside blockchain intelligence firms.[2][3][4][12][13][16][17]
Binance CEO Richard Teng stated that customer assets remain safe and that the breach only impacted the exchange's own hot wallet. Teng explained that the intruder evaded standard approval controls by utilizing an EIP-7702 delegation and a self-destruct mechanism. Co-CEO Yi He noted in a video update that withdrawals were halted after the Thursday attack and are slated to reopen within 42 hours once systems are verified as secure, with Teng aiming to restore withdrawals by Sunday ahead of a full Proof of Reserves report targeted for Monday.[6][7][11][14]
Industry figures have weighed in on the exchange's response. MicroStrategy co-founder Michael Saylor highlighted that Binance committed its own balance sheet to ensure customers are made whole, expressing confidence that the company will deliver and that the crypto industry will emerge stronger and more resilient.[8][10]
Key facts
- Binance reserved over $6.34 billion in corporate funds to cover all losses resulting from the hack.
- Binance holds $5 billion in the exact impacted token assets, with the remaining $1.34 billion being purchased via market and OTC channels.
- Approximately $3 billion in affected assets has been frozen with assistance from industry partners.
- The FBI and Secret Service are working alongside Binance and other agencies to investigate the incident and trace stolen funds.
- Binance CEO Richard Teng said the hacker used a self-destruct mechanism and EIP-7702 delegation to bypass internal controls, and customer funds were not compromised.
- Withdrawals are expected to reopen by Sunday or within 42 hours once systems are clean, with a Proof of Reserves report planned for Monday.
Sources · 15 sources
- DN
DEGEN NEWS@DegenerateNewsPost on X ·
BREAKING: @binance SAYS IT HAS RESERVED OVER $6.34B OF COMPANY FUNDS TO COVER THE HACK $5B IS ALREADY HELD IN THE EXACT TOKENS STOLEN, WITH THE REST BEING BOUGHT VIA MARKET AND OTC $3B REMAINS FROZEN "WE WILL WEATHER THIS STORM" https://t.co/DVMdD3tGFt
Open source - CB
Crypto Banter@crypto_banterPost on X ·
🚨BINANCE RESERVES OVER $6.34B IN COMPANY FUNDS TO COVER HACK! @binance says it has reserved more than $6.34B of company funds to cover the incident. $5B of that is already held in the exact token assets that were impacted, with the rest being purchased through market and OTC channels. These figures do not include frozen assets. Currently $3B has been frozen with the help of industry partners. Binance says it will continue to cover confirmed shortfalls with company resources and that all user funds will ultimately be verified through Proof of Reserves.
Open source - C®
CryptoSavingExpert ®@CryptoSavingExpPost on X ·
Binance is working with the FBI and other law enforcement agencies to recover the $3 billion in assets frozen following the $6.3 billion security incident. The exchange has also set aside more than $6.3 billion of its own funds to cover the shortfall. This is a significant commitment, but the recovery effort is far from over. The industry will be watching closely as investigators work to recover the frozen assets and Binance continues its efforts to make users whole.
Open source - WB
Wu Blockchain@WuBlockchainPost on X ·
Binance Reserves Over $6.34B in Company Funds to Cover Hack Losses, Including $5B in Affected Tokens Binance said it has reserved over $6.34 billion in company funds to cover losses from the hack, including $5 billion already held in the affected tokens. It is purchasing the remaining tokens through market and OTC channels, a process that may take longer due to limited liquidity. The reserved funds are separate from approximately $3 billion in frozen assets. Binance will publicly verify user assets through its Proof of Reserves.
Open source - SI
Solid Intel 📡@solidintel_xPost on X ·
INTEL: Binance allocates $6.34B to cover losses from historic hack The exchange says it has already secured $5B in the affected tokens and is purchasing the remaining $1.34B to match the assets lost. * Around $3B in affected assets has been frozen, with recovery efforts ongoing. * Additional funds are being traced and recovered with law enforcement and industry partners. * Binance says all user funds will be verified publicly through its Proof of Reserves.
Open source - CB
Crypto Briefing@Crypto_BriefingPost on X ·
🚨 UPDATE: Binance CEO Richard Teng says the exchange has reserved over $6.34B in company funds to cover all losses from the hack, including $5B already held in affected crypto assets. Binance aims to restore withdrawals by Sunday and publish a full Proof of Reserves report by Monday. https://t.co/cqHdij7oJg
Open source - DE
DecryptArticle ·
Binance Sets Aside $6.34B to Cover Hack Losses, CEO Says 'Your Assets Are Safe' Richard Teng said the attacker used a self-destruct mechanism and an EIP-7702 delegation that bypassed Binance's normal approval controls.
Open source - BC
Bitcoin.com News@BitcoinNewsPost on X ·
JUST IN: 🎙️ "Binance has committed its own balance sheet to making customers whole. I expect it to deliver," says Michael @Saylor on the historic Binance hack. "Our industry will learn from this incident, strengthen security, and emerge stronger and more resilient." 💬 https://t.co/s5X8c6SL8h
Open source - BM
Bitcoin Magazine@BitcoinMagazinePost on X ·
JUST IN: Binance officially sets aside $6.34 billion in company funds to cover all user losses. https://t.co/NEXIqiDdG1
Open source - CO
Cointelegraph@CointelegraphPost on X ·
🚨 JUST IN: Michael Saylor says he expects Binance to make customers whole after pledging its balance sheet to cover losses. He calls the incident a lesson for the wider crypto industry. https://t.co/YMjPI8YRMu
Open source - BS
BSCN@BSCNewsPost on X ·
Binance withdrawals are due back within 42 hours Co-CEO Yi He (@heyibinance) gave the update in a video today, nearly a day after Binance paused withdrawals following Thursday’s record hack. Around $3B of the estimated $6.3B taken has been frozen, and she said the exchange will reopen only once its systems are confirmed clean. @binance has set aside more than $6.34B in company funds to cover the losses, and about $5B of that is already held in the same tokens that were stolen, with the rest being bought on the market. CEO Richard Teng (@_RichardTeng) said a full Proof of Reserves report will follow by Monday, with an early snapshot before then.
Open source - CO
Cointelegraph@CointelegraphPost on X ·
🚨 UPDATE: Binance is working with the FBI and other law enforcement agencies to recover stolen funds, while $3B has already been frozen. https://t.co/IoqAEalKeI
Open source - CT
Coin TelegraphArticle ·
FBI and Secret Service join response to Binance’s $6.3B hack US agencies are investigating the theft and helping trace stolen assets, while Binance says about $3 billion has been frozen.
Open source - CB
Crypto Banter@crypto_banterPost on X ·
🚨BINANCE CO-CEO: WE ARE COMMITTED TO COVERING ALL HACK LOSSES WITH COMPANY FUNDS! @_RichardTeng said @binance is covering all losses from the incident with company funds and that user assets are safe. The company has reserved over $6.34B, with $5B already in the exact assets impacted. Only Binance’s own hot wallet was affected; customer funds were never used. He said they are hopeful withdrawals can resume before Sunday and that an initial Proof of Reserves is targeting Monday.
Open source - TM
That Martini Guy ₿@MartiniGuyYTPost on X ·
Binance is now working with the FBI and law enforcement to recover the $3B in assets frozen following the $6.3B hack. The exchange has also set aside more than $6.3B of its own funds to cover the shortfall. That's a staggering amount of money. The recovery effort is far from over, but Binance is clearly determined to make users whole.
Open source - BT
Bull Theory@BullTheoryioPost on X ·
BREAKING: Binance has reserved over $6.34 BILLION in company funds to cover losses from the largest hack in history. Key updates: 1. $5B is already held in the exact affected tokens. 2. The remaining $1.34B is being purchased through market and OTC channels. 3. $3B in assets has already been frozen with industry partners. 4. These figures exclude frozen and protected assets still undergoing recovery and verification. 5. Binance is working with law enforcement and industry partners to trace, freeze and recover more funds. 6. Binance will cover all confirmed losses using company funds. 7. All user funds will be verified through its public Proof of Reserves.
Open source - TB
The BlockArticle ·
Binance says it has $6.34 billion ready to cover hack losses Binance has allocated $6.34 billion to cover hack losses, while industry partners have frozen another $3 billion in affected assets.
Open source