Binance freezes $3bn in crypto after suspected hack
The world's largest crypto exchange has paused deposits and withdrawals while it investigates a security issue, and Bitcoin fell about 5%.
At a glance
- Binance froze around $3bn in digital assets and paused all deposits and withdrawals while investigating a suspected hack.
- Tether and Circle said they froze about $2.4bn combined, with Tether at roughly $1.6bn and Circle at more than $800m.
- Bitcoin fell about 5% after the alerts; Binance says user funds are safe and it will cover all losses.
Binance said on Thursday it had frozen digital assets worth around $3bn (£2.24bn) and suspended all deposits and withdrawals while it investigates a suspected security breach at the world's largest cryptocurrency exchange by daily trading volumes.
The company said in a series of online alerts that its teams were carrying out security checks and that it would "cover all losses". It added that users' funds are safe.
"It does look like a hack on Binance," said Changpeng Zhao, Binance's former chief executive, who remains the firm's majority shareholder.
Other platforms freeze funds
Two other major crypto platforms also acted. Circle, the issuer and co-creator of the US dollar-backed USDC, said it had frozen more than $800m in assets linked to the incident. Tether said it had frozen around $1.6bn "related to a potential Binance exchange hack", bringing the two firms' combined total to roughly $2.4bn.
"Protecting the industry and our partners is our main priority," said Tether chief executive Paolo Ardoino. Circle chief executive Jeremy Allaire said his company was "closely tracking reports of a potential exploit involving Binance".
Binance said the amount of funds frozen could continue to grow as its teams work with law enforcement and other partners to trace and seize additional assets. "We are working around the clock and will share a full post-mortem once the investigation is complete. Please rely only on official Binance channels for updates," the firm said.
Market reaction
Bitcoin dropped by around 5% following the alerts, and the price of other major cryptocurrencies including Ethereum and Solana also fell sharply.
Several crypto industry observers had flagged concerns about a possible hack hours before Binance confirmed the attack. The scale of the attack is still unclear.
There is recent precedent for large-scale crypto theft. In 2025, hackers stole $1.5bn in crypto from Bybit, a Dubai-based exchange, in a record-breaking incident attributed to hackers linked with North Korea.
Source: BBC Business.
Questions and answers
- Was Binance hacked?
- Binance says it is investigating a security issue and froze about $3bn to stop assets being stolen. Its former chief executive Changpeng Zhao said it "does look like a hack on Binance", but the scale of the attack is still unclear.
- How much cryptocurrency has been frozen?
- Binance froze around $3bn (£2.24bn), while Tether and Circle said they froze about $2.4bn between them — roughly $1.6bn and more than $800m respectively. Binance says the total may rise as the investigation continues.
- Did crypto prices fall after the Binance alerts?
- Yes. Bitcoin dropped by around 5% following Binance's alerts, and the price of other major cryptocurrencies including Ethereum and Solana also fell sharply.
