Binance probes $5.7B crypto hack, potentially the largest in history
What's the story
Binance, one of the world's leading cryptocurrency exchanges, is investigating a massive security breach that could be the biggest hack in crypto history. The attack resulted in an estimated loss of between $1.7 billion and $5.7 billion from user wallets on Thursday afternoon. This incident comes on the heels of a series of high-profile cyberattacks and data breaches during "Black October," raising fears of a global crisis.
Operational halt
Withdrawals and deposits halted
In the wake of the suspected hack, Binance has suspended deposits and withdrawals across multiple networks.
The exchange's co-founder Yi He took to X to announce this decision.
She assured users that their funds are safe and promised that Binance would cover all losses incurred due to the hacking incident.
Asset freeze
Tether, Circle freeze over $1 billion in tokens
Following the suspected breach, stablecoin issuers Tether and Circle froze over $1 billion in cryptocurrencies. This was confirmed by Binance's co-founder Changpeng Zhao.
The move is aimed at minimizing user losses by preventing further unauthorized transactions or conversions of certain cryptocurrencies linked to the incident.
Ongoing investigation
Hack may surpass Bybit's $1.5 billion breach
A Binance spokesperson said that the exchange's security teams are "reviewing all relevant information with urgency."
The scale of the incident is still unclear, but blockchain analytics firms have estimated potential losses at around $5.9 billion to over $6 billion.
If these estimates hold true, this would surpass Bybit's $1.5 billion cryptocurrency heist in February 2025 and become the largest such incident in history.
User safety
Zhao lauds swift action by stablecoin issuers
Binance founder Zhao, who stepped down as CEO in 2023 but remains a major shareholder, also addressed the incident on X.
He said it looked like a hack on Binance while assuring users that their funds would be protected.
Zhao also acknowledged the quick action by stablecoin issuers Tether and Circle in freezing assets linked to the incident.
Twitter Post
Zhao's post
User funds are safe!
— CZ 🔶 BNB (@cz_binance) October 29, 2026
It does look like a hack on Binance. Appreciate the quick freeze from Tether (~$971m) and Circle (~$823m).
I don't manage Binance (.com) anymore, but as a shareholder, I expect all user funds will be fully covered. https://t.co/oufpyNChxI
Breach details
Hack may have originated from engineer's compromised laptop
According to Reuters, Binance's initial investigation suggests that the security incident may have stemmed from a compromised laptop belonging to a DevOps engineer.
This device allegedly allowed an attacker access to a service container and submit unauthorized withdrawal transactions.
However, Binance has found no evidence of wallet private keys being leaked in this incident.