Binance Says It Will Cover Hack Losses Without Selling Bitcoin

Binance founder CZ said the exchange would cover reported hack losses from its balance sheet without selling Bitcoin (BTC), placing its funding plan at the center of the response to the incident.

CZ put the reported losses at $6.3 billion and said 95% had already been covered. He also said Binance had allocated funds for the full amount and users were being made whole.

“We hold crypto for the long term,” CZ said. He presented the decision to avoid a BTC sale as consistent with Binance’s long-term approach to holding crypto.

For Bitcoin holders, the central point is the stated funding source: Binance says it can cover the reported losses without reducing its BTC holdings. The plan separates paying for the losses from selling Bitcoin to raise funds.

The figures describe a reported $6.3 billion loss, coverage already completed for most of that total and an allocation for the full amount. The exchange’s stated approach is to use its balance sheet while keeping its Bitcoin holdings intact.