Binance Halts Withdrawals After Suspected Hack, Says Funds…
By Tobi Opeyemi Amure
AI summary of the source article
Binance paused withdrawals and suspended Binance Alpha trading following a security issue involving drained hot wallets, while stating user funds remain safe. In response, Tether and Circle froze approximately $2.4 billion in stablecoins.
Why it matters
Exchanges usually halt withdrawals after a breach to stop an attacker draining more wallets with the same access... so a pause while Binance rotates keys and clears delegations is defensive, not necessarily a sign of insolvency.
Key facts
- Binance temporarily suspended withdrawals across multiple networks and paused Binance Alpha trading due to a security incident.
- Tether froze more than 1.567 billion USDT and Circle froze over 800 million USDC, locking roughly $2.4 billion.
- Binance accounted for $344.8 million of $627.7 million in crypto liquidations that occurred in a single hour.
Source excerpt · FinanceFeeds
Binance has paused withdrawals following the suspected Binance hack that drained billions of dollars from its hot wallets. The exchange said in an official post on X at 22:15 UTC on 29 October that they will resume only "as soon as the security issue is fully resolved." The wording matters: an hour earlier Binance was investigating "reports of a potential security issue." It now refers to "the sec…