Symbolic imageFBI blames North Korea for Binance hack as exchange restores 90% of losses
The FBI attributes the record $6.3bn Binance theft to North Korea's TraderTraitor unit. Binance says it has replaced 90% of the stolen assets.
In a statement on Saturday, 31 October, the FBI said North Korea was responsible for the theft of more than $6bn from Binance around 29 October. It said it had observed TraderTraitor actors converting stolen assets into Ethereum and expects further laundering through decentralised finance and instant swap services. The agency published a list of about 500 Ethereum addresses and urged private firms to block transactions linked to them. Binance co-CEO Richard Teng described a complex attack involving a compromised laptop and malware designed to delete evidence.
Binance covers the loss
Binance paid for replacement tokens from its $1bn SAFU reserve, part of its Futures insurance fund and its corporate treasury, and has set aside about $6.34bn. The remaining 10% consists of less liquid tokens that may take longer to buy. Withdrawals, suspended since the hack, are expected to resume on Sunday.
Trump doubts attribution
Speaking at Mar-a-Lago on Saturday evening, President Donald Trump said he did not know whether North Korea was responsible, according to Le Monde.
Markets and rivals react
Bitcoin fell nearly 5% and BNB nearly 10% after the news, the Guardian reports. The Financial Times reports that rival exchanges have placed additional alerts and restrictions on the movement of funds.