Binance, Cryptocurrency exchange, has suffered a security breach with an estimated $6.3 billion impact, in what TRM Labs, blockchain intelligence firm, describes as the largest cryptocurrency theft in history.
The incident, which occurred on October 29, involved the movement of approximately $6.36 billion from Binance-controlled wallets across 10 blockchain networks, according to TRM Labs.
The development has raised fresh concerns about cybersecurity risks facing centralised cryptocurrency exchanges and the protection of digital assets.
In a security update published on October 30, Binance said preliminary investigations suggested that an attacker gained access to its internal systems through a compromised laptop belonging to a DevOps engineer.
The attacker allegedly used the access to enter a service container and submit unauthorised withdrawal transactions.
The exchange said it had found no evidence that wallet private keys were leaked, adding that investigations were ongoing to establish the full circumstances of the breach.
As an immediate response, Binance temporarily suspended deposits and withdrawals while its security teams worked to contain the incident.
It also revoked authorisation for affected addresses and engaged law enforcement agencies, blockchain intelligence firms and industry partners to trace and recover the assets.
Binance said approximately $3 billion in affected assets had been frozen on-chain through collaboration with blockchain partners.
The exchange also assured customers that their funds remained safe and pledged to cover all losses through its Secure Asset Fund for Users (SAFU) and company reserves.
The scale of the incident has attracted attention from cybersecurity researchers, with TRM Labs attributing the attack, with high confidence, to TraderTraitor, a North Korean state-sponsored hacking group associated with previous major cryptocurrency thefts.
In its assessment published on October 29, TRM Labs said its attribution was based on on-chain and off-chain intelligence. The firm traced the movement of funds across multiple blockchain networks, including Ethereum, Bitcoin, Tron, Solana and the XRP Ledger.
The reported breach would surpass the $1.5 billion Bybit cryptocurrency exchange hack in February 2025, which was also attributed to North Korean-linked hackers, making the Binance incident the largest recorded cryptocurrency theft if the current estimates are confirmed.
The attack has also unsettled cryptocurrency markets. Bitcoin fell by more than 3 per cent following reports of the breach, while Ether and other digital assets also recorded declines as investors reacted to concerns about exchange security.
The incident comes amid growing scrutiny of cybersecurity vulnerabilities within the cryptocurrency industry, where exchanges remain important custodians and trading platforms for billions of dollars in digital assets.
Binance said it would publish a detailed technical post-mortem after completing its investigation and remediation efforts. The company also plans to provide an updated proof of reserves following the security review.
Folake Balogun is a technology journalist covering Africa’s digital economy, with a focus on startups, fintechs, venture capital, artificial intelligence, and emerging technologies. Her work explores the intersection of technology, business, and society, highlighting how innovation is reshaping industries and everyday life across Africa and global markets. She translates complex trends into insightful and impactful stories for a wider audience.
