The FBI has accused North Korea of orchestrating a record-breaking $6.3bn cryptocurrency heist from Binance, the world’s largest crypto exchange. According to the FBI, the theft was carried out by a group called TraderTraitor, which was also responsible for a $1.5bn hack of the Bybit platform last February. The stolen assets are reportedly being laundered through conversions into Ethereum, with the FBI warning of further laundering operations.
Binance has taken steps to mitigate the damage, announcing that it has covered 90% of the losses using company funds. The remaining 10% consists of less liquid tokens, which may take longer to replace. Binance co-CEO Richard Teng described the breach as a “complex attack” involving a compromised laptop and malware designed to erase evidence, complicating investigations.
The exchange temporarily halted withdrawals following the hack but stated it was on track to resume them by Sunday. Binance also released a new proof-of-reserves snapshot, allowing users to verify that their assets are fully backed. The company assured customers that the financial impact would be absorbed by Binance, not its users.
Crypto prices dipped on Friday as Binance worked to reassure customers. The funds used to reimburse users came from Binance’s $1bn Secure Asset Fund for Users (SAFU), as well as its Futures Insurance Fund and corporate treasury.