Binance users withdraw $3.4 billion after record crypto heist

Good morning, and welcome to our ongoing coverage of the business and financial world. Crypto scammers are reportedly in a heightened state of activity, according to the founder of prominent exchange Binance. Customers are withdrawing billions of dollars from the platform in the wake of a massive hack.

Binance recently fell victim to a $6.3 billion theft, which experts believe was carried out by North Korea. Initially, the exchange froze withdrawals as it investigated the breach. However, on Sunday, Binance announced the commencement of a phased reopening of withdrawals.

By Sunday afternoon, the platform had processed $4.6 billion in withdrawals and $1 billion in deposits. This resulted in a net outflow of approximately $3.6 billion, which amounts to 2.1% of Binance's total assets under management, valued at $171 billion. These figures were confirmed by the company in its latest proof of reserves snapshot, with a comprehensive report expected to be released today.

Changpeng Zhao, the founder of Binance, commonly known as CZ, has expressed concern that scammers are now "on overdrive," taking advantage of the current situation.