Binance said users withdrew nearly $5 billion after the exchange resumed operations following a security breach involving about $6.3 billion in crypto assets. (Foto: Instagram)
Binance, the world’s largest cryptocurrency exchange, said users withdrew nearly $5 billion in assets—approximately 27.2 billion Brazilian reais—after operations resumed following a theft of about $6.3 billion in crypto assets. The exchange announced the withdrawal figures on Sunday, Nov. 1.
The surge in withdrawals followed a security breach that shook investor confidence in digital assets. The theft affected several cryptocurrencies, particularly highly liquid assets such as Bitcoin and Ethereum, as well as dollar-pegged stablecoins. The incident was described as the largest digital currency theft in the cryptocurrency industry’s history.
Binance temporarily halted trading and withdrawals while it sought to contain the breach and investigate a technical failure. The pause quickly alarmed customers. Once transaction processing resumed, the volume of withdrawals reflected users’ immediate concerns about keeping custody of their funds.
In response, Binance executives said the company had used guarantee funds to cover most of the losses caused by the breach. Management also said the exchange handled withdrawal requests totaling billions of dollars without another operational interruption, which it presented as evidence of the platform’s remaining liquidity.
The incident also triggered sharp volatility in prices of major cryptocurrencies on global markets. Large institutional investors reduced their operational positions on centralized platforms while assessing risks to the sector’s infrastructure. Investors are now watching Binance’s ability to restore confidence, as well as the transparency of the final external audit report and the adoption of additional security protocols.
