Coinbase adjusts security after $6.3 billion Binance hack

Binance says it has frozen about $3bn in cryptocurrency after a suspected security breach, while two other major crypto firms say they have frozen a further $2.4bn in assets linked to the incident. The world’s largest cryptocurrency exchange by daily trading volumes has suspended deposits and withdrawals while it investigates.

Binance said on Thursday that it would “cover all losses” and that users’ funds were safe. It said the amount frozen could rise as it works with law enforcement and other partners to trace and seize assets. The scale of the suspected attack remains unclear.

Former Binance chief executive Changpeng Zhao, who remains a majority shareholder, said: “It does look like a hack on Binance.” The company said it would publish a full account once its investigation is complete.

Circle said it had frozen more than $800m in assets linked to the incident. Tether said it had frozen about $1.6bn related to a potential hack. Both companies issue major dollar-backed cryptocurrencies: USDC and USDT, respectively.

Bitcoin fell by about 5% after the alerts, while Ethereum and Solana also dropped sharply. Crypto industry observers had raised concerns about a possible Binance hack hours before the exchange confirmed a security issue.

The incident follows the theft of $1.5bn in cryptocurrency from exchange Bybit in 2025, a record-breaking attack attributed to hackers linked to North Korea.

Update

Coinbase said it adjusted systems used to store cryptocurrency keys offline solely as a precaution. Its security chief, Jeff Lunglhofer, also said the exchange was blocking transfers to compromised Binance wallets, according to CryptoSlate. [3] [4]

The $6.3 billion attack on Binance on 29 October was the largest cryptocurrency heist on record. Binance initially halted withdrawals and said it would use company funds to cover the losses. [3]

Rival exchange Kraken said it was monitoring incidents across the industry for lessons it could apply to its own security. Meanwhile, OKX chief executive Star Xu proposed a real-time alert system that would let companies share information, coordinate a response and temporarily freeze suspected stolen funds. He also called for standardised protocols, clear responsibilities and safeguards. [3]