Binance, the world's largest cryptocurrency exchange, froze over $2.5bn in digital assets on Thursday after detecting a potential security breach. The company temporarily suspended all deposits and withdrawals while its teams investigate the issue, promising to cover any losses. Changpeng Zhao, Binance's former boss and majority shareholder, confirmed suspicions of a hack.
In response, Tether and Circle, two major crypto platforms, froze an additional $2.4bn in assets linked to the incident. Circle, the issuer of USDC, froze more than $800m, while Tether CEO Paolo Ardoino reported freezing around $1.6bn related to the potential hack. Both companies emphasized their commitment to protecting the industry.
The scale of the attack remains unclear, but the incident has already caused significant market reactions. Bitcoin dropped by around 5%, and other major cryptocurrencies like Ethereum and Solana also saw sharp declines. Binance assured users that their funds are safe and pledged to share a full post-mortem once the investigation is complete.
This is not the first major crypto hack in recent years. In 2025, hackers stole $1.5bn from the Dubai-based exchange Bybit, an incident attributed to North Korea-linked hackers. Binance is working closely with law enforcement and other partners to trace and seize additional assets.