Binance hacked for 7,000 Bitcoin in "large scale security breach"

Bitcoin Breaking Binance Hot Wallets Lose 7,000 Bitcoin In “Large Scale” Security Breach Nick Chong

Bitcoin Breaking Binance Hot Wallets Lose 7,000 Bitcoin In “Large Scale” Security Breach Nick Chong

In addition to the bitcoin theft, they were also able to obtain a large amount of user data, including API keys, 2FA codes, and other information.

The hackers used multiple techniques, including phishing attacks and computer viruses to get at Binance and its hot wallets, where it keeps funds to manage the day-to-day operation of the exchange.

The official announcement notes that the 7000 BTC was stolen from just one affected hot wallet, leaving all others "secure and unharmed". "The transaction is structured in a way that passed our existing security checks", Binance explained. Once executed, the withdrawal triggered various alarms in our system.

However, all deposits and withdrawals will remain suspended until the company's internal investigation is complete, the statement said, adding that trading will remain open and available to all users.

CZ said Binance will use its secure asset fund "to cover this incident in full" and a "thorough security review" will be carried out.

Binance suffered what it's calling a "large scale security breach" yesterday evening.

The fact that Binance, the biggest exchange by trading volumes, is not immune to hackers sent shockwaves around the crypto community.

Binance sets aside funds in what has been dubbed a #SAFU account, so the loss will be entirely covered at no expense to users.

The world's leading cryptocurrency exchange, Binance, was apparently hacked today - but the company has promised to make investors whole.

7,000 Bitcoin, now valued at some $42 million, were stolen in what is being called one of the most high-profile and largest hacks in recent times. Suspending withdrawals will permit staff to investigate the issue more thoroughly, but also added "we believe with withdrawals disabled, there isn't much incentive for hackers to influence markets". We do not need funding help.

The idea was subsequently raised during an ask-me-anything session held by Binance CEO Changpeng Zhao, sparking a round of speculation that ended with Zhao ultimately dismissing the idea. At the time of publication, bitcoin is still over the $5800 support level and only down by around 1% in the last 24 hours. Do you think this latest hack is a cause for concern? However, the Binance Coin or BNB is down by more than 5% which is a genuine movement keeping in mind the hack. Tell us what you think in the comments.

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