Cryptocurrency exchange Binance recorded $6.33 billion in net outflows over 24 hours after resuming withdrawals. The company allocated more than $6.34 billion to cover losses from the major hack and has already compensated for 95% of the losses.
Binance, the world’s largest cryptocurrency exchange by trading volume, began gradually restoring withdrawals suspended after the cyberattack overnight on October 30. According to data from analytics platform DefiLlama, net capital outflows from the exchange reached $6.33 billion over the past 24 hours.
Withdrawals resumed on November 1 at 06:00 UTC. Initially, users could withdraw USDC, USDT, and ETH on Ethereum, as well as USDC, USDT, and BNB on BNB Smart Chain (BSC). Binance later expanded the list of supported networks to 15, including Bitcoin and XRP Ledger. Withdrawals for other assets are being restored as security checks are completed.
Binance Users Withdraw Billions Following the Hack
In the first 9.5 hours after withdrawals resumed, Binance processed $4.65 billion in withdrawal requests, while deposits totaled about $1.01 billion. Net outflows during this period reached $3.64 billion.
According to DefiLlama, net outflows from Binance reached $6.33 billion as of November 2 at 04:45 UTC. The exchange’s initial statistics showed that USDT, USDC, and BTC accounted for the largest withdrawal volumes. However, Binance representatives questioned the accuracy of DefiLlama’s estimate, noting that the platform doesn’t account for internal transfers to the company’s new hot wallets.
According to a statement from Binance, withdrawal activity began to decline after an initial surge, while deposit volumes remained substantial. The company also warned users about potential transaction processing delays due to increased demand.
Despite the significant volume of withdrawals, Binance emphasized that the amount represents a relatively small share of total customer assets, which the exchange estimates at about $171 billion. The $6.33 billion in daily net outflows represents roughly 4% of that amount.
Binance Allocates $6.34 Billion to Cover Hack-Related Losses
Alongside the restoration of withdrawals, Binance announced that it had set aside more than $6.34 billion of its own funds to cover losses resulting from the hack.
About $5 billion of the allocated funds is already held in the same cryptocurrencies that were stolen. The exchange is using the remaining funds to purchase the necessary tokens through open-market transactions and over-the-counter (OTC) deals. Binance is drawing on its corporate treasury, the Secure Asset Fund for Users (SAFU), and its futures insurance fund to cover the losses.
According to the company’s latest figures, 95% of the lost assets have been restored. The remaining 5% consists primarily of tokens with limited liquidity, which require additional time to acquire in the necessary quantities.
Binance also worked with partners to freeze about $3 billion in stolen assets. This amount isn’t included in the funds set aside to cover losses. The frozen assets aren’t yet considered recovered because regaining control over them depends on the investigation’s findings and the relevant procedures.
Binance also stated that customer balances in BTC, ETH, USDT, BNB, SOL, USDC, XRP, USD1, RLUSD, and ZEC remain fully backed at a 1:1 ratio. The company plans to verify its reserves through its Proof of Reserves (PoR) system. Exchange representatives emphasized that the financial impact of the hack will be covered by Binance’s own resources, not customer funds.
Investigation Into Binance Hack Continues
The attack resulted in the theft of 18,270 BTC worth about $1.4 billion. According to BitcoinTreasuries, the stolen amount is comparable to SpaceX’s holdings of 18,712 BTC. The Bitcoin reserves of several cryptocurrency companies were even smaller than the amount stolen, including:
- Coinbase (17,954 BTC);
- Riot Platforms (11,380 BTC);
- Hut 8 (10,278 BTC).
Blockaid analysts investigated the incident and found that attackers drained about $2.5 billion from a single Binance hot wallet by exploiting the EIP-7702 delegation mechanism. The theft involved 167,464 ETH, 1.615 billion USDT, and dozens of other tokens. Over the following 12 minutes, funds were also withdrawn from 10 other hot wallets across multiple blockchain networks. How the attackers obtained the necessary authorizations remains unknown.
The U.S. Federal Bureau of Investigation (FBI) attributed the attack to North Korea, linking the incident to the TraderTraitor group. According to the agency, the attackers are converting stolen assets primarily into Ethereum and may use DeFi protocols and instant exchange services to launder the funds. The FBI published a list of cryptocurrency wallets associated with the attack and urged market participants to block suspicious transactions.
Binance continues to work with law enforcement agencies, token issuers, and analytics firms to trace and recover the stolen assets. Once the investigation is complete, the exchange plans to publish a detailed technical report on the incident.
Binance previously suffered the largest hack in cryptocurrency market history. Attackers stole about $6.36 billion in assets from the exchange’s wallets across 10 blockchain networks.
