Multi-billion Binance hack hitting crypto markets

Blockchain platform Binance is investigating a potential $5.7 billion cryptocurrency heist, which could surpass the largest hack in history. The incident unfolded as users experienced significant fund withdrawals from their wallets on Thursday. This hack comes amid a series of high-profile cyberattacks during "Black October," raising concerns of a global crisis.

Binance co-founder Changpeng Zhao, who is no longer an executive, confirmed on X that the exchange was indeed hacked. However, a Binance spokesperson stated that the investigation is still ongoing. Analysts and traders estimate that between $1.7 billion and $5.7 billion were stolen during the cyberattack. Kevin March, co-founder of JPEG Trading, noted that the attack is unprecedented.

In response to the hack, Binance imposed restrictions on withdrawals and froze over $1 billion worth of cryptocurrencies on platforms like Tether and Circle. The exchange's security team is reviewing the situation urgently. Zhao and a spokesperson from Binance assured users that their funds are safe.

If confirmed, this alleged Binance hack would mark the biggest crypto attack in history. In 2025, North Korea-linked hackers stole $1.5 billion worth of cryptocurrency from the Bybit exchange. In the crypto industry, such massive attacks can leave smaller exchanges vulnerable to collapse due to potential panic-induced withdrawals.

Given Binance's size, it is better insulated, March suggested. The company has insurance and a strong balance sheet to cover potential losses, though widespread reverberations in the crypto markets remain possible.

The breach was reported just hours after Polymarket, a decentralized predictions market operator, reported a cyberattack. Polymarket had to halt trading for an hour as an attacker stole at least $2.7 million in user funds. Researchers at Hudson Rock linked the Polymarket incident to a breach involving the third-party website monitoring tool DebugBear, which was responding to its own security incident. The identity of the hacker and the exact amount of currency stolen by the attackers remain unknown.