Binance Restores Withdrawals After Covering Most of $6.3 Billion North Korean Hack

Binance began restoring user withdrawals on Sunday, a move that allows customers to access funds after the exchange confirmed it has replaced 90% of the assets stolen in a massive breach. The platform suspended withdrawals immediately following the incident, but officials stated that phased resumption ensures stability for the system. This recovery effort has been funded by the company’s internal reserves, sparing individual users from immediate financial loss.

The theft totals approximately $6.3 billion, or €5.63 billion, making it the largest hack of a cryptocurrency platform to date. Co-chief executive Richard Teng stated on Friday that the breach involved a compromised laptop and malicious software designed to delete evidence. He noted that the attack was a complex operation intended to hinder tracing efforts. Binance set aside roughly $6.34 billion in company funds to cover the full amount.

The company drew from its $1 billion Secure Asset Fund for Users, a bitcoin reserve maintained to protect customers during security breaches. It also utilized portions of its Futures Insurance Fund and its own corporate treasury. Teng said the remaining 10% of tokens are less liquid, which may require more time to purchase. He affirmed that users would not bear the financial impact of the incident.

The Federal Bureau of Investigation confirmed on Saturday that a North Korea-affiliated group called TraderTraitor was responsible for the theft. The agency identified the group as part of the Lazarus Group, which gained notoriety in 2014 for hacking Sony Pictures. The FBI stated that North Korea was responsible for the theft of more than $6 billion in virtual assets on or about October 29, 2026.

Investigators observed TraderTraitor actors converting the stolen assets into ethereum. The FBI expected these assets to be further laundered through decentralized finance and instant swap services. The agency urged private sector entities to block transactions involving addresses used by the group to move the stolen funds.

The breach occurred amid concerns that expanding artificial intelligence models could compromise cryptography and IT security protocols. Market reactions were immediate following the news. Bitcoin prices fell nearly 5%, while ethereum dropped nearly 6%. BNB, the native token of Binance, tumbled nearly 10%.

The scale of the theft has drawn attention to North Korea’s ability to generate illicit revenue despite extensive international sanctions related to its nuclear and missile programs. The FBI continues to monitor the laundering process, while Binance works to complete the repurchase of the remaining less liquid tokens.