Binance halts withdrawals amid suspected hack as $2.54B in crypto assets frozen

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Cryptocurrency giant Binance has suspended withdrawals following a suspected cyberattack that may have involved as much as $5.8 billion in digital assets, potentially making it the largest cryptocurrency hack in history.

The company confirmed on October 29 that it was investigating a security incident after blockchain analysts detected suspicious transfers involving billions of dollars from Binance-linked wallets.

Binance reported that $2.54 billion in assets linked to the incident had already been frozen through the combined efforts of cryptocurrency companies and law enforcement agencies.

Tether froze nearly $1.57 billion while Circle blocked more than $800 million. Ripple also froze approximately $200 million in assets as the industry moved to prevent the suspected stolen funds from being transferred.

Binance co-founder and former chief executive Changpeng Zhao, popularly known as CZ, acknowledged the apparent attack.

“It does look like a hack on Binance,” Zhao posted on X.

Binance co-founder Yi He assured customers that the company would shoulder any losses resulting from the incident.

“Binance will cover all hacking losses,” He said.

Despite reports of billions of dollars in suspicious transactions, Binance maintained that customer funds remained safe. The exchange temporarily suspended withdrawals and trading on its Binance Alpha platform while security checks continued.

The company has not confirmed the total amount stolen or identified those responsible. The $5.8 billion figure remains an estimate based on blockchain analysis, while the $2.54 billion represents frozen assets rather than confirmed losses.

The incident also affected cryptocurrency markets. Bitcoin fell to a six-week low of $77,646 on October 30 while Ethereum dropped to $2,238.76. Binance’s BNB token declined by more than 8 percent to $694.

Philippine implications

The suspected attack comes as Binance seeks to reestablish its presence in the Philippines through a partnership with BlockShoals Technologies Inc. under the Securities and Exchange Commission’s (SEC) Strategic Sandbox framework.

The arrangement allows BlockShoals to conduct approved regulatory testing with Binance providing technology and operational support. Sandbox participation does not automatically grant Binance a full Philippine operating license.

There has been no confirmed report of Filipino Binance users losing funds because of the incident.

Binance advised customers to rely only on official announcements and avoid suspicious links, messages or requests for account information.

The exchange has yet to announce when all affected withdrawal services will be restored.