Cryptocurrency giant Binance has reported a significant security breach, with $6.3 billion worth of digital assets impacted. The incident, suspected to be the largest crypto hack on record, occurred on Thursday, according to Binance. The company stated that about half of the affected assets had been frozen, but many remained in the hands of the hackers. Binance assured that it will cover all losses resulting from the hack.
The hack is believed to have originated from a compromised engineer's laptop, which allowed an attacker to make unauthorized withdrawals. However, Binance's subsequent investigation uncovered additional points of breach. Two analytics firms, Chainalysis and TRM Labs, have attributed the incident to a North Korean hacking unit called TraderTraitor, also known as Lazarus Group. This group has been linked to previous significant crypto hacks, including the $1.5 billion hack on the Bybit exchange in 2025.
Cyber-security firm Check Point's chief information security officer, Jayant Dave, confirmed that the losses estimated by Binance make it the largest crypto theft on record. TRM Labs' global head of policy, Ari Redbord, described the Binance hack as a "watershed moment" that is unlike anything the industry has seen. The attacker still holds a substantial sum of stolen assets, and efforts to trace and recover the funds are ongoing.
Binance, founded in China in 2017, is a major cryptocurrency exchange with over 300 million registered users worldwide. The company reported having over $160 billion in assets under its custody in 2024. Binance has been subject to regulatory scrutiny globally. Western security agencies have previously stated that North Korea-linked operatives have focused on attacking cryptocurrency companies to steal digital tokens, which are used to finance the regime's nuclear weapons and missile development programs.
Eric Jardine, Chainalysis' Head of Research, urged every exchange to remain vigilant, as platforms are attractive targets for hackers due to the sheer value of assets. Binance co-CEO Richard Teng stated that the company's initial investigation suggested the hack started with a compromised engineer's laptop, which gave an attacker access to a service container, allowing them to submit unauthorized withdrawal transactions.
The incident has prompted several crypto industry observers to flag concerns about potential hacks on Binance. In response to the hack, Tether and Circle, two major crypto platforms, have frozen a total of about $2.4 billion of assets. World Liberty Financial, a crypto company linked to US President Donald Trump and his family, also worked with its partners to freeze stolen funds. Coinbase, another major crypto exchange, reported being unaffected by the incident and is monitoring the situation.
The hack has also had an impact on the cryptocurrency market, with Bitcoin dropping by more than 4% following the alerts. The prices of other major cryptocurrencies, including Ethereum and Solana, also fell sharply. Binance has assured that it is working closely with law enforcement partners to confirm the identity of the criminals and bring them to justice. A detailed "post-mortem" of the incident will be shared once the investigation is complete.
Key points
- Binance reports $6.3 billion hack, suspected to be the largest in crypto history
- Hack attributed to North Korean hacking unit called TraderTraitor, also known as Lazarus Group
- Binance to cover all losses, working with law enforcement to bring perpetrators to justice
