Binance Pledges to Cover User Losses After $6.3 Billion Incident

Binance has pledged to cover all user losses after estimating the impact of a security incident involving unauthorized withdrawals at about $6.3 billion, while saying its investigation remains preliminary.

Binance said its initial review suggests a DevOps engineer’s laptop may have been compromised. That may have given an attacker access to a service container and a way to submit unauthorized withdrawal transactions. The exchange said it has found no evidence that wallet private keys were exposed.

About $3 billion in affected assets had been frozen on-chain, Binance said. The exchange said it will cover losses with funds from SAFU and the company. It temporarily suspended deposits and withdrawals during security checks, revoked the authorization tied to the affected address, and brought in law enforcement and blockchain specialists to track the funds and pursue recovery.

Binance plans to publish a technical postmortem after its investigation is complete and an updated proof of reserves after remediation.