Binance says it has covered 90% of losses from $6.3 billion hack

On October 31, the cryptocurrency exchange Binance reported that it had managed to replace 90% of the funds stolen in a record $6.3 billion hack of its platform, using company reserves to purchase new tokens. The remaining 10% consisted of less liquid tokens, which would take longer to acquire, according to a statement posted on X, the social media platform owned by Elon Musk.

Binance's co-CEO Richard Teng assured users that their funds would not face financial repercussions from the incident. The FBI attributed the attack to a North Korean state-sponsored unit known as TraderTraitor, which had converted the stolen assets into Ethereum. Binance had stopped allowing customers to withdraw funds immediately after the hack but expressed confidence in reopening withdrawals by Sunday.

The exchange had set aside approximately $6.34 billion in company funds to cover the losses, drawing from its Secure Asset Fund for Users (SAFU) and other reserves. Binance also conducted a new asset snapshot on October 31, as part of its proof-of-reserves process, allowing users to verify that their assets were backed at a 1:1 ratio for 10 listed cryptocurrencies.