Cryptocurrency exchange Binance announced on Tuesday that it is investigating a potential security issue on its platform. The company stated on X that user funds are completely safe.
Security teams reviewed the information quickly. Binance urged users to watch out for scams and to avoid unofficial links, messages, or requests for account details.
Co-founder Changpeng Zhao wrote on X that user funds are safe. He acknowledged a hack on the platform and thanked Tether and Circle for freezing funds quickly.
Tether froze about 971 million dollars. Circle froze roughly 823 million dollars.
Binance temporarily stopped trading tokens listed on Binance Alpha to address the problem. The company also suspended CEX Buy Token, Alpha instant, and CEX purchase prediction marketing using spot wallet funds.
The verified total frozen amount reached about three billion dollars in a later update. Binance said it is working with law enforcement, issuers, blockchain intelligence firms, and industry partners to trace and freeze more assets.
Co-founder Yi He confirmed on X that user funds are secure and promised the company will cover all hacking losses. Deposits and withdrawals were temporarily suspended while the team runs security checks and freezes funds.
An initial investigation suggests the incident may involve a compromised DevOps engineer laptop. This let an attacker access a service container and submit unauthorised withdrawal transactions.
Binance stated it has found no evidence of any wallet private key leak. The company promised to share a detailed technical post-mortem after the investigation finishes and facts are verified.
The estimated total impact of the incident sat at around 6.3 billion dollars while teams worked with blockchain partners to freeze affected assets.
