The world’s largest crypto exchange is in crisis mode. Binance confirmed a security incident on Thursday after users reported funds draining from its wallets, and the company has temporarily halted withdrawals on several blockchain networks. This is a developing story, and many numbers remain unconfirmed.
Quick Facts
- Company: Binance, the world’s largest cryptocurrency exchange
- Status: Security incident under investigation, withdrawals paused on multiple networks
- Estimated losses: At least $2 billion by some trackers, up to $5.7 billion by other estimates (unconfirmed)
- Attacker: Unknown
- Source: TechCrunch (reporter Zack Whittaker, October 29, 2026)
What Binance Has Said
In a statement to TechCrunch, Binance said it is aware of reports of a potential security issue and is investigating urgently. The company stated that “user funds are completely safe.” Spokesperson Ross O’Leary said Binance suspended withdrawals on multiple networks as a precaution after the incident.
Binance also warned users to watch for scams and to ignore unofficial links, messages and requests for account details. Updates will come through its official channels once information is verified.
Founder Changpeng Zhao Weighs In
Hours before the confirmation, Binance founder Changpeng Zhao posted on X that the company had likely been hacked. Zhao no longer runs Binance but remains its largest shareholder. He said he expects users’ funds to be fully covered, though he didn’t explain how.
How Big Is the Theft?
The scale is still murky:
- Crypto watchers: At least $2 billion has been drained from Binance’s hot wallets, which are internet-connected wallets used for day-to-day transactions.
- Higher estimates: Some reports suggest losses could top $5.7 billion.
- Caveat: None of these figures are confirmed, and the theft may still be ongoing.
If the losses reach into the billions, this would rank among the largest crypto breaches ever, according to theft leaderboards.
Stablecoin Giants Step In
Stablecoin issuers moved fast. Circle froze about $800 million in Tether (USDT) as it passed through its networks. Tether itself froze roughly $1.56 billion tied to the breach. Freezing stolen stablecoins can make it harder for hackers to cash out.
How It Compares
The largest single crypto theft on record before this was the $1.4 billion Bybit hack in 2025, which was blamed on North Korean hackers. Whoever is behind the Binance incident is unknown, and Binance hasn’t said whether the attackers contacted the company.
A Separate Incident at Polymarket
A different security problem hit Polymarket the same day. The prediction market briefly stopped trading and paused withdrawals after confirming a third-party company was compromised. Security researchers say hackers stole around $2 million after breaching software from a company called DebugBear. The incident appears unrelated to Binance’s breach.
What Binance Users Should Do
These are general safety steps, not official instructions:
- Use only official Binance channels for updates.
- Ignore unsolicited messages or links, especially those offering “recovery” help.
- Never share passwords, 2FA codes or recovery phrases.
- Check your account for unusual activity through the official app or site.
- Expect delays while withdrawals remain paused.
What to Watch Next
- Confirmed loss totals and how they were stolen
- Whether Binance reopens withdrawals and when
- Evidence of who carried out the attack
- Any move to compensate affected users
- Market reaction across crypto prices
We’ll update this story as verified details emerge.
Source: TechCrunch