GLOBAL DESK, October 31, 2026 – The global cryptocurrency ecosystem has been rocked by the largest digital heist in history. On October 29, highly sophisticated hackers drained approximately $6.36 billion from Binance, the world’s leading cryptocurrency exchange. The unprecedented breach unfolded in a massive 20-minute window, bypassing normal security protocols and sending shockwaves through global crypto markets.
According to reliable sources and leading blockchain intelligence firms, the attack occurred across 10 different blockchains, with the bulk of the funds moved starting at 20:05 UTC.
Hackers managed to infiltrate Binance’s hot wallet infrastructure, allowing them to issue unauthorized withdrawal transactions. Sources indicate that on the Ethereum network, the attackers utilized an EIP-7702 delegation to turn a Binance hot wallet into a sweeper contract that only they controlled, executing the theft using 50 pre-signed authorizations.
Binance initially suspected a compromised engineer’s laptop, but CEO Richard Teng later clarified that it was a highly complex and coordinated operation, not a simple “one-click” action by a single employee.
North Korean Hackers Suspected
While investigations are ongoing, blockchain intelligence firms, including TRM Labs and Pangolin Intelligence, have attributed the attack to TraderTraitor, an elite state-sponsored hacking unit operating out of North Korea.
Investigators have made this judgment with “high confidence” based on robust on-chain and off-chain intelligence. If officially confirmed, this single attack would nearly double the total amount of cryptocurrency the North Korean regime has stolen to date, eclipsing the previous record of a $1.5 billion theft from Bybit in 2025.
What Has Been Recovered?
Despite the staggering scale of the theft, swift action from decentralized finance (DeFi) organizations mitigated a portion of the damage. Major stablecoin issuers—including Tether, Circle, Ripple, and World Liberty Financial—moved quickly to freeze approximately $2.67 billion in stolen stablecoins. Combined with actions from the Arbitrum Security Council, the total frozen assets amount to roughly $2.7 billion.
However, the attackers anticipated these freezes. They rapidly traded stolen stablecoins for other assets and currently hold over $2.4 billion in untraceable crypto (including 420,000 ETH and 18,270 BTC), which are now beyond the reach of any issuer to freeze or recover.
Market Impact and Response
Binance immediately suspended deposits and withdrawals on several networks to conduct extensive security checks and revoked the affected address authorizations. Binance co-founder Changpeng Zhao (CZ) reassured the public, stating that he expects all user funds to be fully covered by the exchange despite the massive loss.
The news of the historic breach temporarily rattled the market, causing Bitcoin to momentarily drop to a six-week low and Binance’s native BNB token to decline by over 6%. Binance is currently collaborating with global law enforcement and blockchain intelligence partners to trace the remaining funds and secure its network.
Published by True Roots Media Network