Binance hack prompted US regulators to check in on bank systems, sources say

US regulators contacted banks following the $6.3 billion Binance hack last week to assess their systems for potential vulnerabilities, according to sources familiar with the situation. The Federal Reserve and the Office of the Comptroller of the Currency began reaching out to banks on Monday morning, inquiring about any unusual activity or service disruptions, according to the sources.

One bank source reported no disruptions, stating that employees had prepared talking points for customer discussions but had received few inquiries. Banks are actively studying the Binance hack, considered the largest financial heist in history, and conducting diagnostics to ensure readiness against similar attacks, with two sources confirming these efforts.

A cybersecurity team from a top US bank contacted Binance shortly after the attack and is preparing an internal report to review its systems, potentially implementing cybersecurity updates. The bank's vulnerability to Binance's tactics remains unclear, according to the source. Binance denied knowledge of any such conversations between banks and regulators, emphasizing its close contact with global regulators on the security breach.

The primary concern among experts is the rapid evolution of AI models, complicating banks' efforts to stay ahead of hackers, who are dedicating substantial resources to cybersecurity reviews and patches. In recent years, US bank regulators have encouraged greater involvement in crypto markets, including the Federal Reserve's recent reversal of a 2022 rule that required banks to seek permission before engaging in crypto-related activities.